The Price of Fairness
In this paper we study resource allocation problems that involve multiple self-interested parties or players and a central decision maker. We introduce and study the price of fairness, which is the relative system efficiency loss under a “fair” allocation assuming that a fully efficient allocation i...
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| Format: | Article |
| Language: | en_US |
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INFORMS
2012
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| Online Access: | http://hdl.handle.net/1721.1/69093 https://orcid.org/0000-0002-1985-1003 https://orcid.org/0000-0002-5856-9246 |
| _version_ | 1811087453183803392 |
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| author | Farias, Vivek F. Trichakis, Nikolaos Bertsimas, Dimitris J |
| author2 | Massachusetts Institute of Technology. Operations Research Center |
| author_facet | Massachusetts Institute of Technology. Operations Research Center Farias, Vivek F. Trichakis, Nikolaos Bertsimas, Dimitris J |
| author_sort | Farias, Vivek F. |
| collection | MIT |
| description | In this paper we study resource allocation problems that involve multiple self-interested parties or players and a central decision maker. We introduce and study the price of fairness, which is the relative system efficiency loss under a “fair” allocation assuming that a fully efficient allocation is one that maximizes the sum of player utilities. We focus on two well-accepted, axiomatically justified notions of fairness, viz., proportional fairness and max-min fairness. For these notions we provide a tight characterization of the price of fairness for a broad family of problems. |
| first_indexed | 2024-09-23T13:46:20Z |
| format | Article |
| id | mit-1721.1/69093 |
| institution | Massachusetts Institute of Technology |
| language | en_US |
| last_indexed | 2024-09-23T13:46:20Z |
| publishDate | 2012 |
| publisher | INFORMS |
| record_format | dspace |
| spelling | mit-1721.1/690932023-03-01T02:14:49Z The Price of Fairness Farias, Vivek F. Trichakis, Nikolaos Bertsimas, Dimitris J Massachusetts Institute of Technology. Operations Research Center Sloan School of Management Bertsimas, Dimitris J. Farias, Vivek F. Trichakis, Nikolaos Bertsimas, Dimitris J. In this paper we study resource allocation problems that involve multiple self-interested parties or players and a central decision maker. We introduce and study the price of fairness, which is the relative system efficiency loss under a “fair” allocation assuming that a fully efficient allocation is one that maximizes the sum of player utilities. We focus on two well-accepted, axiomatically justified notions of fairness, viz., proportional fairness and max-min fairness. For these notions we provide a tight characterization of the price of fairness for a broad family of problems. National Science Foundation (U.S.) (grant DMI- 0556106) National Science Foundation (U.S.) (grant EFRI-0735905) 2012-02-13T17:57:30Z 2012-02-13T17:57:30Z 2011-01 2009-12 Article http://purl.org/eprint/type/JournalArticle 0030-364X 1526-5463 http://hdl.handle.net/1721.1/69093 Bertsimas, D., V. F. Farias, and N. Trichakis. “The Price of Fairness.” Operations Research 59.1 (2011): 17-31. https://orcid.org/0000-0002-1985-1003 https://orcid.org/0000-0002-5856-9246 en_US http://dx.doi.org/10.1287/opre.1100.0865 Operations Research Creative Commons Attribution-Noncommercial-Share Alike 3.0 http://creativecommons.org/licenses/by-nc-sa/3.0/ application/pdf INFORMS Prof. Bertsimas via Alex Caracuzzo |
| spellingShingle | Farias, Vivek F. Trichakis, Nikolaos Bertsimas, Dimitris J The Price of Fairness |
| title | The Price of Fairness |
| title_full | The Price of Fairness |
| title_fullStr | The Price of Fairness |
| title_full_unstemmed | The Price of Fairness |
| title_short | The Price of Fairness |
| title_sort | price of fairness |
| url | http://hdl.handle.net/1721.1/69093 https://orcid.org/0000-0002-1985-1003 https://orcid.org/0000-0002-5856-9246 |
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