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Envy-Free and Efficient Minimal Rights: Recursive No-Envy


  • Dominguez Diego A

    () (Instituto Tecnologico Autonomo de Mexico)

  • Nicolo Antonio

    () (University of Padua)


In economics the main efficiency criterion is that of Pareto-optimality. For problems of distributing a social endowment a central notion of fairness is no-envy (each agent should receive a bundle at least as good, according to her own preferences, as any of the other agent's bundle). For most economies there are multiple allocations satisfying these two properties. We provide a procedure, based on distributional implications of these two properties, which selects a single allocation which is Pareto-optimal and satisfies no-envy in two-agent exchange economies. There is no straightforward generalization of our procedure to more than two-agents.

Suggested Citation

  • Dominguez Diego A & Nicolo Antonio, 2009. "Envy-Free and Efficient Minimal Rights: Recursive No-Envy," The B.E. Journal of Theoretical Economics, De Gruyter, vol. 9(1), pages 1-16, March.
  • Handle: RePEc:bpj:bejtec:v:9:y:2009:i:1:n:6

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    References listed on IDEAS

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