Sharing Costs and Sharing Revenue: The Proportional Solutions

Somdeb Lahiri

IIMA Working Papers from Indian Institute of Management Ahmedabad, Research and Publication Department

Abstract: Consider a group of people who have just been awarded a sum of money to undertake a consultancy for a research project. The problem that now confronts them is to share the revenue as well as the costs of the overheads involved in undertaking the project. In this paper we propose a proportional solution to this problem, prove the existence of such a solution (in a special case) and establish its optimality.

Date: 1994-04-01
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Persistent link: https://EconPapers.repec.org/RePEc:iim:iimawp:wp01260

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