Incentive compatible two player cake cutting

  • Authors:
  • Avishay Maya;Noam Nisan

  • Affiliations:
  • Hebrew University of Jerusalem, Israel;Microsoft Research, Hebrew University of Jerusalem, Israel

  • Venue:
  • WINE'12 Proceedings of the 8th international conference on Internet and Network Economics
  • Year:
  • 2012

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Abstract

We characterize methods of dividing a cake between two bidders in a way that is incentive-compatible and Pareto-efficient. In our cake cutting model, each bidder desires a subset of the cake (with a uniform value over this subset), and is allocated some subset. Our characterization proceeds via reducing to a simple one-dimensional version of the problem, and yields, for example, a tight bound on the social welfare achievable.