IDEAS home Printed from https://ideas.repec.org/a/wsi/igtrxx/v09y2007i01ns0219198907001308.html
   My bibliography  Save this article

Bankruptcy Rules And Coalitional Manipulation

Author

Listed:
  • JUAN D. MORENO-TERNERO

    (Yale University, Department of Political Science, P.O. Box 208301, New Haven, CT 06520-8301, USA)

Abstract

In this paper, we study the immunity of bankruptcy rules to manipulation via merging or splitting agents' claims. We focus on the TAL-family of bankruptcy rules (Moreno-Ternero & Villar, 2005), a one-parameter family encompassing three classical rules: the Talmud (T) rule, the constrained equal-awards (A) rule and the constrained equal-losses (L) rule. We show that all rules within the TAL-family are partially non-manipulable and identify the domain of problems where each rule is either non-manipulable by merging or non-manipulable by splitting. We also show that they can be ranked in terms of their relative non-manipulability, according to the parameter that generates the family.

Suggested Citation

  • Juan D. Moreno-Ternero, 2007. "Bankruptcy Rules And Coalitional Manipulation," International Game Theory Review (IGTR), World Scientific Publishing Co. Pte. Ltd., vol. 9(01), pages 105-118.
    • Handle: RePEc:wsi:igtrxx:v:09:y:2007:i:01:n:s0219198907001308
    DOI: 10.1142/S0219198907001308
    as

    Download full text from publisher

    File URL: http://www.worldscientific.com/doi/abs/10.1142/S0219198907001308
    Download Restriction: Access to full text is restricted to subscribers
    File URL: https://libkey.io/10.1142/S0219198907001308?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Diego Dominguez & William Thomson, 2006. "A new solution to the problem of adjudicating conflicting claims," Economic Theory, Springer;Society for the Advancement of Economic Theory (SAET), vol. 28(2), pages 283-307, June.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Ju, Biung-Ghi, 2013. "Coalitional manipulation on networks," Journal of Economic Theory, Elsevier, vol. 148(2), pages 627-662.
    2. René Brink & Juan D. Moreno-Ternero, 2017. "The reverse TAL-family of rules for bankruptcy problems," Annals of Operations Research, Springer, vol. 254(1), pages 449-465, July.
    3. Thomson, William, 2015. "Axiomatic and game-theoretic analysis of bankruptcy and taxation problems: An update," Mathematical Social Sciences, Elsevier, vol. 74(C), pages 41-59.
    4. Biung-Ghi Ju & Juan D. Moreno-Ternero, 2006. "Progressivity, Inequality Reduction, and Merging-Proofness in Taxation," WORKING PAPERS SERIES IN THEORETICAL AND APPLIED ECONOMICS 200603, University of Kansas, Department of Economics, revised Feb 2006.
    5. Biung-Ghi Ju & Juan Moreno-Ternero, 2011. "Progressive and merging-proof taxation," International Journal of Game Theory, Springer;Game Theory Society, vol. 40(1), pages 43-62, February.
    6. Juan D. Moreno-Ternero, 2017. "A Talmudic approach to bankruptcy problems," LIDAM Reprints CORE 2914, Université catholique de Louvain, Center for Operations Research and Econometrics (CORE).
    7. Elisenda Molina & Juan Tejada & Tom Weiss, 2022. "Some game theoretic marketing attribution models," Annals of Operations Research, Springer, vol. 318(2), pages 1043-1075, November.
    8. Doudou Gong & Genjiu Xu & Xuanzhu Jin & Loyimee Gogoi, 2022. "A sequential partition method for non-cooperative games of bankruptcy problems," TOP: An Official Journal of the Spanish Society of Statistics and Operations Research, Springer;Sociedad de Estadística e Investigación Operativa, vol. 30(2), pages 359-379, July.
    9. Alfredo Valencia-Toledo & Juan Vidal-Puga, 2020. "Reassignment-proof rules for land rental problems," International Journal of Game Theory, Springer;Game Theory Society, vol. 49(1), pages 173-193, March.
    10. Elisenda Molina & Juan Tejada & Tom Weiss, 2020. "Some game theoretic marketing attribution models," Papers 2012.00812, arXiv.org.
    11. Biung-Ghi Ju, 2004. "Coalitional Manipulation on Communication Network," Econometric Society 2004 Far Eastern Meetings 563, Econometric Society.
    12. Valencia-Toledo, Alfredo & Vidal-Puga, Juan, 2015. "Non-manipulable rules for land rental problems," MPRA Paper 67334, University Library of Munich, Germany.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. William Thomson, 2007. "On the existence of consistent rules to adjudicate conflicting claims: a constructive geometric approach," Review of Economic Design, Springer;Society for Economic Design, vol. 11(3), pages 225-251, November.
    2. Jens Leth Hougaard & Juan D. Moreno-Ternero & Lars Peter Østerdal, 2010. "Baseline Rationing," Discussion Papers 10-16, University of Copenhagen. Department of Economics.
    3. Peris, Josep E. & Jiménez-Gómez, José M., 2012. "A Proportional Approach to Bankruptcy Problems with a guaranteed minimum," QM&ET Working Papers 12-7, University of Alicante, D. Quantitative Methods and Economic Theory.
    4. Hougaard, Jens Leth & Moreno-Ternero, Juan D. & Østerdal, Lars Peter, 2012. "A unifying framework for the problem of adjudicating conflicting claims," Journal of Mathematical Economics, Elsevier, vol. 48(2), pages 107-114.
    5. Juan D. Moreno-Ternero & Min-Hung Tsay & Chun-Hsien Yeh, 2020. "A strategic justification of the Talmud rule based on lower and upper bounds," International Journal of Game Theory, Springer;Game Theory Society, vol. 49(4), pages 1045-1057, December.
    6. Juan D. Moreno‐Ternero & Min‐Hung Tsay & Chun‐Hsien Yeh, 2022. "Strategic justifications of the TAL family of rules for bankruptcy problems," International Journal of Economic Theory, The International Society for Economic Theory, vol. 18(1), pages 92-102, March.
    7. Diego Dominguez, 2007. "Lower bounds and recursive methods for the problem of adjudicating conflicting claims," Working Papers 0705, Centro de Investigacion Economica, ITAM.
    8. Solís Baltodano, María José, 2016. "The Catalan health budget rationing problem," Working Papers 2072/290741, Universitat Rovira i Virgili, Department of Economics.
    9. LUTTENS, Roland Iwan, 2010. "Lower bounds rule!," LIDAM Discussion Papers CORE 2010069, Université catholique de Louvain, Center for Operations Research and Econometrics (CORE).
    10. Louis de Mesnard, 2015. "The three wives problem and Shapley value," Post-Print hal-01091714, HAL.
    11. Diego Dominguez, 2013. "Lower bounds and recursive methods for the problem of adjudicating conflicting claims," Social Choice and Welfare, Springer;The Society for Social Choice and Welfare, vol. 40(3), pages 663-678, March.
    12. José-Manuel Giménez-Gómez & M. Marco-Gil, 2014. "A new approach for bounding awards in bankruptcy problems," Social Choice and Welfare, Springer;The Society for Social Choice and Welfare, vol. 43(2), pages 447-469, August.
    13. William Thomson, 2008. "Two families of rules for the adjudication of conflicting claims," Social Choice and Welfare, Springer;The Society for Social Choice and Welfare, vol. 31(4), pages 667-692, December.
    14. Juan Moreno-Ternero & Antonio Villar, 2006. "The TAL-Family of Rules for Bankruptcy Problems," Social Choice and Welfare, Springer;The Society for Social Choice and Welfare, vol. 27(2), pages 231-249, October.
    15. María José Solíx-Baltodano & Cori Vilella & José Manuel Giménez-Gómez, 2019. "The Catalan Health Budget: A Conflicting Claims Approach," Hacienda Pública Española / Review of Public Economics, IEF, vol. 228(1), pages 35-54, March.
    16. Thomson, William, 2013. "A characterization of a family of rules for the adjudication of conflicting claims," Games and Economic Behavior, Elsevier, vol. 82(C), pages 157-168.
    17. Christopher P. Chambers & Juan D. Moreno-Ternero, 2017. "Taxation and poverty," Social Choice and Welfare, Springer;The Society for Social Choice and Welfare, vol. 48(1), pages 153-175, January.
    18. José-Manuel Giménez-Gómez & Foroogh Salekpay & Cori Vilella, 2023. "How to distribute the European regional development funds through a combination of egalitarian allocations: the constrained equal losses min," Palgrave Communications, Palgrave Macmillan, vol. 10(1), pages 1-8, December.
    19. Giménez-Gómez, José-Manuel & Peris, Josep E., 2014. "A proportional approach to claims problems with a guaranteed minimum," European Journal of Operational Research, Elsevier, vol. 232(1), pages 109-116.
    20. Thomson, William, 2015. "Axiomatic and game-theoretic analysis of bankruptcy and taxation problems: An update," Mathematical Social Sciences, Elsevier, vol. 74(C), pages 41-59.

    More about this item

    Keywords

    Bankruptcy problems; TAL-family; manipulation by merging; manipulation by splitting; JEL Classification: D63;
    All these keywords.

    JEL classification:

    • B4 - Schools of Economic Thought and Methodology - - Economic Methodology
    • C0 - Mathematical and Quantitative Methods - - General
    • C6 - Mathematical and Quantitative Methods - - Mathematical Methods; Programming Models; Mathematical and Simulation Modeling
    • C7 - Mathematical and Quantitative Methods - - Game Theory and Bargaining Theory
    • D5 - Microeconomics - - General Equilibrium and Disequilibrium
    • D7 - Microeconomics - - Analysis of Collective Decision-Making
    • M2 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Business Economics

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:wsi:igtrxx:v:09:y:2007:i:01:n:s0219198907001308. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Tai Tone Lim (email available below). General contact details of provider: http://www.worldscinet.com/igtr/igtr.shtml .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.