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Fair allocation of indivisible goods among two agents

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  • RAMAEKERS, Eve

    (Chargée de recherches F.R.S.-FNRS, Université catholique de Louvain, CORE, B-1348 Louvain-la-Neuve, Belgium)

Abstract

One must allocate a finite set of indivisible goods among two agents without monetary compensation. We impose Pareto-efficiency, anonymity, a weak notion of no-envy, a welfare lower bound based on each agent’s ranking of the sets of goods, and a monotonicity property relative to changes in agents’ preferences. We prove that there is a rule satisfying these axioms. If there are three goods, it is the only rule, with one of its subcorrespondences, satisfying each fairness axiom and not discriminating between goods. Further, we confirm the clear gap between these economies and those with more than two agents.

Suggested Citation

  • RAMAEKERS, Eve, 2010. "Fair allocation of indivisible goods among two agents," LIDAM Discussion Papers CORE 2010087, Université catholique de Louvain, Center for Operations Research and Econometrics (CORE).
    • Handle: RePEc:cor:louvco:2010087
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    File URL: https://sites.uclouvain.be/core/publications/coredp/coredp2010.html
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    References listed on IDEAS

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    Cited by:

    1. Eve Ramaekers, 2013. "Fair allocation of indivisible goods: the two-agent case," Social Choice and Welfare, Springer;The Society for Social Choice and Welfare, vol. 41(2), pages 359-380, July.

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    More about this item

    Keywords

    indivisible goods; no monetary compensation; no-envy; lower bound; preference-monotonicity;
    All these keywords.

    JEL classification:

    • D61 - Microeconomics - - Welfare Economics - - - Allocative Efficiency; Cost-Benefit Analysis
    • D63 - Microeconomics - - Welfare Economics - - - Equity, Justice, Inequality, and Other Normative Criteria and Measurement

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