Price of fairness for allocating a bounded resource

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Publication:1752883

DOI10.1016/J.EJOR.2016.08.013zbMATH Open1394.91252arXiv1508.05253OpenAlexW2215472514WikidataQ61638294 ScholiaQ61638294MaRDI QIDQ1752883FDOQ1752883


Authors: Gaia Nicosia, Andrea Pacifici, Ulrich Pferschy Edit this on Wikidata


Publication date: 24 May 2018

Published in: European Journal of Operational Research (Search for Journal in Brave)

Abstract: In this paper we study the problem of allocating a scarce resource among several players (or agents). A central decision maker wants to maximize the total utility of all agents. However, such a solution may be unfair for one or more agents in the sense that it can be achieved through a very unbalanced allocation of the resource. On the other hand fair/balanced allocations may be far from being optimal from a central point of view. So, in this paper we are interested in assessing the quality of fair solutions, i.e. in measuring the system efficiency loss under a fair allocation compared to the one that maximizes the sum of agents utilities. This indicator is usually called the Price of Fairness and we study it under three different definitions of fairness, namely maximin, Kalai-Smorodinski and proportional fairness. Our results are of two different types. We first formalize a number of properties holding for any general multi-agent problem without any special assumption on the agents utility sets. Then we introduce an allocation problem, where each agent can consume the resource in given discrete quantities (items), such that the maximization of the total utility is given by a Subset Sum Problem. For the resulting Fair Subset Sum Problem, in the case of two agents, we provide upper and lower bounds on the Price of Fairness as functions of an upper bound on the items size.


Full work available at URL: https://arxiv.org/abs/1508.05253




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