|
Price Of Fairness
In the theory of fair division, the price of fairness (POF) is the ratio of the largest economic welfare attainable by a division to the economic welfare attained by a ''fair'' division. The POF is a quantitative measure of the loss of welfare that society has to take in order to guarantee fairness. In general, the POF is defined by the following formula:POF=\frac The exact price varies greatly based on the kind of division, the kind of fairness and the kind of social welfare we are interested in. The most well-studied type of social welfare is '' utilitarian social welfare'', defined as the sum of the (normalized) utilities of all agents. Another type is '' egalitarian social welfare'', defined as the minimum (normalized) utility per agent. Numeric example In this example we focus on the ''utilitarian price of proportionality'', or UPOP. Consider a heterogeneous land-estate that has to be divided among 100 partners, all of whom value it as 100 (or the value is normalized to 1 ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Fair Division
Fair division is the problem in game theory of dividing a set of resources among several people who have an Entitlement (fair division), entitlement to them so that each person receives their due share. The central tenet of fair division is that such a division should be performed by the players themselves, without the need for external arbitration, as only the players themselves really know how they value the goods. There are many different kinds of fair division problems, depending on the nature of goods to divide, the criteria for fairness, the nature of the players and their preferences, and other criteria for evaluating the quality of the division. The archetypal fair division algorithm is divide and choose. The research in fair division can be seen as an extension of this procedure to various more complex settings. Description In game theory, fair division is the problem of dividing a set of resources among several people who have an Entitlement (fair division), entitlem ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Fair Item Allocation
Fair item allocation is a kind of the fair division problem in which the items to divide are ''discrete'' rather than continuous. The items have to be divided among several partners who potentially value them differently, and each item has to be given as a whole to a single person. This situation arises in various real-life scenarios: * Several heirs want to divide the inherited property, which contains e.g. a house, a car, a piano and several paintings. * Several lecturers want to divide the courses given in their faculty. Each lecturer can teach one or more whole courses. *White elephant gift exchange parties The indivisibility of the items implies that a fair division may not be possible. As an extreme example, if there is only a single item (e.g. a house), it must be given to a single partner, but this is not fair to the other partners. This is in contrast to the fair cake-cutting problem, where the dividend is divisible and a fair division always exists. In some cases, the ind ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Economic Efficiency
In microeconomics, economic efficiency, depending on the context, is usually one of the following two related concepts: * Allocative or Pareto efficiency: any changes made to assist one person would harm another. * Productive efficiency: no additional output of one good can be obtained without decreasing the output of another good, and production proceeds at the lowest possible average total cost. These definitions are not equivalent: a market or other economic system may be allocatively but not productively efficient, or productively but not allocatively efficient. There are also other definitions and measures. All characterizations of economic efficiency are encompassed by the more general engineering concept that a system is efficient or optimal when it maximizes desired outputs (such as utility) given available inputs. Standards of thought There are two main standards of thought on economic efficiency, which respectively emphasize the distortions created by ''governme ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Approval Voting
Approval voting is a single-winner rated voting system where voters can approve of all the candidates as they like instead of Plurality voting, choosing one. The method is designed to eliminate vote-splitting while keeping election administration simple and Summability criterion, easy-to-count (requiring only a single score for each candidate). Approval voting has been used in both organizational and political elections to improve representativeness and voter satisfaction. Critics of approval voting have argued the simple ballot format is a disadvantage, as it forces a Dichotomous preferences, binary choice for each candidate (instead of the expressive grades of other rated voting rules). Effect on elections Research by Social choice theory, social choice theorists Steven Brams and Dudley R. Herschbach found that approval voting would increase voter participation, prevent minor-party candidates from being spoiler effect, spoilers, and reduce negative campaigning. Brams' researc ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Justified Representation
Justified representation (JR) is a criterion of fairness in multiwinner approval voting. It can be seen as an adaptation of the proportional representation criterion to approval voting. Background Proportional representation (PR) is an important consideration in designing electoral systems. It means that the various groups and sectors in the population should be represented in the parliament in proportion to their size. The most common system for ensuring proportional representation is the party-list system. In this system, the candidates are partitioned into parties, and each citizen votes for a single party. Each party receives a number of seats proportional to the number of citizens who voted for it. For example, for a parliament with 10 seats, if exactly 50% of the citizens vote for party A, exactly 30% vote for party B, and exactly 20% vote for party C, then proportional representation requires that the parliament contains exactly 5 candidates from party A, exactly 3 can ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Fair Subset Sum Problem
The multiple subset sum problem is an optimization problem in computer science and operations research. It is a generalization of the subset sum problem. The input to the problem is a multiset S of ''n'' integers and a positive integer ''m'' representing the number of subsets. The goal is to construct, from the input integers, some ''m'' subsets. The problem has several variants: * ''Max-sum MSSP'': for each subset ''j'' in 1,...,''m'', there is a capacity ''Cj''. The goal is to make the ''sum'' of all subsets as large as possible, such that the sum in each subset j is at most ''Cj''. * ''Max-min MSSP'' (also called ''bottleneck MSSP'' or ''BMSSP''): again each subset has a capacity, but now the goal is to make the ''smallest'' subset sum as large as possible. * ''Fair SSP'': the subsets have no fixed capacities, but each subset belongs to a different person. The utility of each person is the sum of items in his/her subsets. The goal is to construct subsets that satisfy a given crit ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Competitive Equilibrium
Competitive equilibrium (also called: Walrasian equilibrium) is a concept of economic equilibrium, introduced by Kenneth Arrow and Gérard Debreu in 1951, appropriate for the analysis of commodity markets with flexible prices and many traders, and serving as the benchmark of efficiency in economic analysis. It relies crucially on the assumption of a competitive environment where each trader decides upon a quantity that is so small compared to the total quantity traded in the market that their individual transactions have no influence on the prices. Competitive markets are an ideal standard by which other market structures are evaluated. Definitions A competitive equilibrium (CE) consists of two elements: * A price function P. It takes as argument a vector representing a bundle of commodities, and returns a positive real number that represents its price. Usually the price function is linear - it is represented as a vector of prices, a price for each commodity type. * An allocation ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Chore Division
Chore division is a fair division problem in which the divided resource is undesirable, so that each participant wants to get as little as possible. It is the mirror-image of the fair cake-cutting problem, in which the divided resource is desirable so that each participant wants to get as much as possible. Both problems have heterogeneous resources, meaning that the resources are nonuniform. In cake division, cakes can have edge, corner, and middle pieces along with different amounts of frosting. Whereas in chore division, there are different chore types and different amounts of time needed to finish each chore. Similarly, both problems assume that the resources are divisible. Chores can be infinitely divisible, because the finite set of chores can be partitioned by chore or by time. For example, a load of laundry could be partitioned by the number of articles of clothing and/or by the amount of time spent loading the machine. The problems differ, however, in the desirability of the ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Fair Item Allocation
Fair item allocation is a kind of the fair division problem in which the items to divide are ''discrete'' rather than continuous. The items have to be divided among several partners who potentially value them differently, and each item has to be given as a whole to a single person. This situation arises in various real-life scenarios: * Several heirs want to divide the inherited property, which contains e.g. a house, a car, a piano and several paintings. * Several lecturers want to divide the courses given in their faculty. Each lecturer can teach one or more whole courses. *White elephant gift exchange parties The indivisibility of the items implies that a fair division may not be possible. As an extreme example, if there is only a single item (e.g. a house), it must be given to a single partner, but this is not fair to the other partners. This is in contrast to the fair cake-cutting problem, where the dividend is divisible and a fair division always exists. In some cases, the ind ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Economic Welfare
The welfare definition of economics is an attempt by Alfred Marshall, a pioneer of neoclassical economics, to redefine his field of study. This definition expands the field of economic science to a larger study of humanity. Specifically, Marshall's view is that economics studies all the actions that people take in order to achieve economic welfare. In the words of Marshall, "man earns money to get material welfare." Others since Marshall have described his remark as the "welfare definition" of economics. This definition enlarged the scope of economic science by emphasizing the study of wealth and humanity together, rather than wealth alone. In his widely read textbook, '' Principles of Economics'', published in 1890, Marshall defines economics as follows: Political Economy or Economics is a study of mankind in the ordinary business of life; it examines that part of individual and social action which is most closely connected with the attainment and with the use of material requisi ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Envy-free Cake-cutting
An envy-free cake-cutting is a kind of fair cake-cutting. It is a division of a heterogeneous resource ("cake") that satisfies the envy-free criterion, namely, that every partner feels that their allocated share is at least as good as any other share, according to their own subjective valuation. When there are only two partners, the problem is easy and was solved in antiquity by the divide and choose protocol. When there are three or more partners, the problem becomes much more challenging. Two major variants of the problem have been studied: * Connected pieces, e.g. if the cake is a 1-dimensional interval then each partner must receive a single sub-interval. If there are n partners, only n-1 cuts are needed. * General pieces, e.g. if the cake is a 1-dimensional interval then each partner can receive a union of disjoint sub-intervals. Short history Modern research into the fair cake-cutting problem started in the 1940s. The first fairness criterion studied was proportional d ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Numeric Example
A number is a mathematical object used to count, measure, and label. The most basic examples are the natural numbers 1, 2, 3, 4, and so forth. Numbers can be represented in language with number words. More universally, individual numbers can be represented by symbols, called ''numerals''; for example, "5" is a numeral that represents the number five. As only a relatively small number of symbols can be memorized, basic numerals are commonly organized in a numeral system, which is an organized way to represent any number. The most common numeral system is the Hindu–Arabic numeral system, which allows for the representation of any non-negative integer using a combination of ten fundamental numeric symbols, called digits. In addition to their use in counting and measuring, numerals are often used for labels (as with telephone numbers), for ordering (as with serial numbers), and for codes (as with ISBNs). In common usage, a ''numeral'' is not clearly distinguished from the ''numb ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
