Equal Awards versus Equal Losses in Bankruptcy Problems

Jose Alcalde and Josep E. Peris

No 17-2, QM&ET Working Papers from University of Alicante, D. Quantitative Methods and Economic Theory

Abstract: The Constrained Equal Awards and Equal Losses rules are traditional ways to solve bankruptcy problems. These rules are characterized by two parameters α and β that represent, respectively, the maximum amount a claimant receives, or the maximum amount a claimant loses. Moreover, these rules define a partition in the set of agents: those who are equally rationed, and those sustaining a lower rationing (because their maximal award and maximal loss cannot exceed their claim). We investigate the relationship between α and β, and the corresponding partitions they originate in the set of agents, by using a characteristic τ measuring the relative degree of conflict.

Keywords: Bankruptcy Problem; Relative Degree of Conflict (search for similar items in EconPapers)
JEL-codes: C71 D63 D71 (search for similar items in EconPapers)
Pages: 14 pages
Date: 2017-02-21
New Economics Papers: this item is included in nep-gth
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (3)

Downloads: (external link)
https://web.ua.es/es/dmcte/documentos/qmetwp1702.pdf Full text (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:ris:qmetal:2017_002

Access Statistics for this paper

More papers in QM&ET Working Papers from University of Alicante, D. Quantitative Methods and Economic Theory Contact information at EDIRC.
Bibliographic data for series maintained by Julio Carmona ().