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The complexity of fairness through equilibrium

Published: 01 June 2014 Publication History

Abstract

Competitive equilibrium with equal incomes (CEEI) is a well-known fair allocation mechanism [Foley67:Resource, Varian74: Equity, Thomson85:Theories]; however, for indivisible resources a CEEI may not exist. It was shown in Budish [2011] that in the case of indivisible resources there is always an allocation, called A-CEEI, that is approximately fair, approximately truthful, and approximately efficient, for some favorable approximation parameters. This approximation is used in practice to assign business school students to classes. In this paper we show that finding the A-CEEI allocation guaranteed to exist by Budish's theorem is PPAD-complete. We further show that finding an approximate equilibrium with better approximation guarantees is even harder: NP-complete.

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cover image ACM Conferences
EC '14: Proceedings of the fifteenth ACM conference on Economics and computation
June 2014
1028 pages
ISBN:9781450325653
DOI:10.1145/2600057
Permission to make digital or hard copies of all or part of this work for personal or classroom use is granted without fee provided that copies are not made or distributed for profit or commercial advantage and that copies bear this notice and the full citation on the first page. Copyrights for components of this work owned by others than ACM must be honored. Abstracting with credit is permitted. To copy otherwise, or republish, to post on servers or to redistribute to lists, requires prior specific permission and/or a fee. Request permissions from [email protected]

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Published: 01 June 2014

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Author Tags

  1. a-ceei
  2. course allocation
  3. market design
  4. matching
  5. ppad

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EC '14
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EC '14: ACM Conference on Economics and Computation
June 8 - 12, 2014
California, Palo Alto, USA

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EC '14 Paper Acceptance Rate 80 of 290 submissions, 28%;
Overall Acceptance Rate 664 of 2,389 submissions, 28%

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