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Rationing with Baselines: The Composition Extension Operator

Author

Listed:
  • Jens Leth Hougaard

    (Department of Food and Resource Economics, University of Copenhagen)

  • Juan D. Moreno-Ternero

    (Department of Economics, Universidad Pablo de Olavide)

  • Lars Peter Østerdal

    (Department of Business and Economics, University of Southern Denmark)

Abstract

We introduce a new operator for general rationing problems in which, besides conflicting claims, individual baselines play an important role in the rationing process. The operator builds onto ideas of composition, which are not only frequent in rationing, but also in related problems such as bargaining, choice, and queuing. We characterize the operator and show how it preserves some standard axioms in the literature on rationing. We also relate it to recent contributions in such literature.

Suggested Citation

  • Jens Leth Hougaard & Juan D. Moreno-Ternero & Lars Peter Østerdal, 2012. "Rationing with Baselines: The Composition Extension Operator," MSAP Working Paper Series 08_2012, University of Copenhagen, Department of Food and Resource Economics.
    • Handle: RePEc:foi:msapwp:08_2012
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    File URL: http://okonomi.foi.dk/workingpapers/MSAPpdf/MSAP2012/MSAP_WP08_2012.pdf
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    References listed on IDEAS

    as
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    Citations

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    Cited by:

    1. Moreno-Ternero, Juan D. & Vidal-Puga, Juan, 2021. "Aggregator operators for dynamic rationing," European Journal of Operational Research, Elsevier, vol. 288(2), pages 682-691.
    2. Gustavo Bergantiños & Juan D. Moreno-Ternero, 2023. "Broadcasting revenue sharing after cancelling sports competitions," Annals of Operations Research, Springer, vol. 328(2), pages 1213-1238, September.
    3. Ju, Biung-Ghi & Kim, Min & Kim, Suyi & Moreno-Ternero, Juan D., 2021. "Fair international protocols for the abatement of GHG emissions," Energy Economics, Elsevier, vol. 94(C).
    4. Andrea Gallice, 2019. "Bankruptcy problems with reference-dependent preferences," International Journal of Game Theory, Springer;Game Theory Society, vol. 48(1), pages 311-336, March.
    5. 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.
    6. Pere Timoner & Josep Maria Izquierdo, 2014. "Rationing problems with payoff thresholds," UB School of Economics Working Papers 2014/311, University of Barcelona School of Economics.
    7. Salekpay, Foroogh & Giménez-Gómez, José Manuel, 2022. "How to distribute the ERDF funds through a combination of egalitarian allocations: the CELmin," Working Papers 2072/535073, Universitat Rovira i Virgili, Department of Economics.
    8. Juan D. Moreno-Ternero, 2017. "A Talmudic Approach to Bankruptcy Problems," Working Papers 17.01, Universidad Pablo de Olavide, Department of Economics.
    9. Pere Timoner Lledó & Josep Maria Izquierdo Aznar, 2015. "Generalized rationing problems and solutions," UB School of Economics Working Papers 2015/329, University of Barcelona School of Economics.
    10. Alex Krumer & Juan D. Moreno-Ternero, 2023. "The Allocation of Additional Slots for the FIFA World Cup," Journal of Sports Economics, , vol. 24(7), pages 831-850, October.
    11. Vito Fragnelli & Ewa Kiryluk-Dryjska, 2019. "Rationing methods for allocating the European Union’s rural development funds in Poland," Economia Politica: Journal of Analytical and Institutional Economics, Springer;Fondazione Edison, vol. 36(1), pages 295-322, April.
    12. 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.
    13. 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.
    14. Josep M Izquierdo & Carlos Rafels, 2024. "An egalitarian approach for the adjudication of conflicting claims," UB School of Economics Working Papers 2024/470, University of Barcelona School of Economics.
    15. Timoner, Pere & Izquierdo, Josep M., 2016. "Rationing problems with ex-ante conditions," Mathematical Social Sciences, Elsevier, vol. 79(C), pages 46-52.

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    More about this item

    Keywords

    rationing; baselines; claims; operator; composition;
    All these keywords.

    JEL classification:

    • D63 - Microeconomics - - Welfare Economics - - - Equity, Justice, Inequality, and Other Normative Criteria and Measurement

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