Bargaining Theory over Opportunity Assignments and the Egalitarian Solution

Abstract

This paper discusses issues of axiomatic bargaining problems over opportunity assignments. The fair arbitrator uses the principle of "equal opportunity" for all players to make the recommendation on resource allocations. A framework in such a context is developed and the egalitarian solution to standard bargaining problems is reformulated and axiomatically characterized.Opportunity sets, bargaining over opportunity assignments, egalitarian solution