Fair Allocation of Disputed Properties

Authors

Biung-Ghi Ju, Department of Economics, Seoul National University, Korea
Juan D. Moreno-Ternero, Department of Economics, Universidad Pablo de Olavide, Spain, and CORE, Université catholique de Louvain, Belgium.

Working Paper Number

2016-10

Publication Date

2016

Abstract

We model problems of allocating disputed properties as generalized exchange economies. Therein, agents have preferences and claims over multiple goods, and the social endowment of each good may not be sufficient to satisfy all individual claims. We focus on market-based allocation rules that impose a two-step procedure: assignment of rights based on claims first, and voluntary exchange based on the assigned rights afterwards. We characterize three focal egalitarian rights-assignment rules that guarantee that the allocation rules are fair. We apply our results to problems of greenhouse gas emissions and contested water rights.

DOI

https://doi.org/10.7275/9205949

Recommended Citation

Ju, Biung-Ghi and Moreno-Ternero, Juan D., "Fair Allocation of Disputed Properties" (2016). Economics Department Working Paper Series. 209.
https://doi.org/10.7275/9205949