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Locating public facilities by majority: Stability, consistency and group formation

  • Barbera, Salvador
  • Bevia, Carmen

We consider the following allocation problem: A fixed number of public facilities must be located on a line. Society is composed of N agents, who must be allocated to one and only one of these facilities. Agents have single peaked preferences over the possible location of the facilities they are assigned to, and do not care about the location of the rest of facilities. There is no congestion. We show that there exist social choice correspondences that choose locations and assign agents to them in such a way that: (1) these decisions are Condorcet winners whenever one exists, (2) the majority of the users of each facility supports the choice of its location, and (3) no agent wishes to become a user of another facility, even if that could induce a change of its present location by majority voting.

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File URL: http://www.sciencedirect.com/science/article/B6WFW-4H9PN5J-1/2/c965a5492f512714febe8d38bbb858aa
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Article provided by Elsevier in its journal Games and Economic Behavior.

Volume (Year): 56 (2006)
Issue (Month): 1 (July)
Pages: 185-200

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Handle: RePEc:eee:gamebe:v:56:y:2006:i:1:p:185-200
Contact details of provider: Web page: http://www.elsevier.com/locate/inca/622836

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  1. Tayfun Sönmez & Suryapratim Banerjee & Hideo Konishi, 2001. "Core in a simple coalition formation game," Social Choice and Welfare, Springer, vol. 18(1), pages 135-153.
  2. Bogomolnaia, Anna & Jackson, Matthew O., 2002. "The Stability of Hedonic Coalition Structures," Games and Economic Behavior, Elsevier, vol. 38(2), pages 201-230, February.
  3. Igal Milchtaich & Eyal Winter, 2000. "Stability and Segregation in Group Formation," Discussion Paper Series dp263, The Federmann Center for the Study of Rationality, the Hebrew University, Jerusalem.
  4. Salvador Barbera & Carmen Bevia, 2000. "Self-Selection Consistent Choices," Econometric Society World Congress 2000 Contributed Papers 1322, Econometric Society.
  5. Barbera, Salvador & Bevia, Carmen, 2002. "Self-Selection Consistent Functions," Journal of Economic Theory, Elsevier, vol. 105(2), pages 263-277, August.
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