Coalitional fairness and distortion of utilities

Abstract

Given a finite number of agents with utilities who wish to divide a finite number of commodities, consider the non- cooperative game with strategies consisting of concave, increasing utility functions and whose outcomes are coalitionally, fair solutions to the underlying equity problem determined by the strategies used. It is shown that for such a game any equal- income comoetitive equilibrium allocation for the true utilities is a vast equllibrium outcome for the non-cooperative game.