On endowments and indivisibility: partial ownership in the Shapley-Scarf model (Q2205990)

The authors present a model of partial ownership with includes an element of probabilistic allocation. This model is relevant for instance for housing units owned by public authorities or situations where a probabilistic allocation rule should respect ownership. The authors present in detail the characteristics of their model before proving a series of interesting results on strategy-proofness, \(\alpha\)-endowment lower bounds and trading cycles which preserve efficiency. The paper concludes with a discussion on the uses and proposed extensions to the model.