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Efficient approximately fair item allocation

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Efficient approximately fair item allocation

When allocating objects among people with different preferences, two major goals are pareto-efficiency and fairness. Since the objects are indivisible, there may not exist any fair allocation. For example, when there is a single house and 2 people, every allocation of the house will be unfair to 1 person. Therefore, several common approximations have been studied, such as [[maximin-share]] fairness (MMS), [[envy-free-item-allocation|envy-freeness]] up to one item (EF1), [[proportional-division|proportionality]] up to one item (PROP1), and equitability up to one item (EQ1). The problem of efficient approximately fair item allocation is to find an allocation that is both Pareto-efficient (PE) and satisfies one of these fairness notions. The problem was first presented at 2016 Both are guaranteed to return an allocation with no envy-cycles. However, the allocation is not guaranteed to be Pareto-efficient. The Approximate-CEEI mechanism* returns a partial EF1 allocation for arbitrary preference relations. It is PE w.r.t. the allocated objects, but not PE w.r.t. all objects (since some objects may remain unallocated). This raised the question of finding an allocation that is both PE and EF1.

Maximum Nash Welfare rule Caragiannis, Kurokawa, Moulin, Procaccia, Shah and Wang were the first to prove the existence of a PE+EF1 allocation. They proved that, when all agents have positive additive utilities, every allocation that maximizes the product of utilities (also known as the Nash welfare) is EF1. Since it is obvious that the maximizing allocation is PE, the existence of PE+EF1 allocation follows.

While the max-product allocation has desirable properties, it cannot be computed in polynomial time: finding a max-product allocation is NP-hard and even APX-hard. This led to various works attempting to approximate the maximum product, with improving approximation factors:

Cole and Gkatzelis presented a 2.89-factor approximation. Anari, Gharan, Saberi and Singh presented an e-factor approximation. *Cole, Devanur, Gkatelis, Jain, Mai, Vazirani and Yazdanbod presented a 2-factor approximation. However, these approximations do not guarantee EF1. Some more recent algorithms guarantee both approximate max-product and fairness:

The max-product solution is particularly appealing when the valuations are binary (the value of each item is either 0 or 1):

Non-additive valuations If the agents' utilities are not additive, the max-product solution is not necessarily EF1; but if the agents' utilities are at least submodular, the max-product solution satisfies a weaker property called Marginal-Envy-Freeness except-1-item (MEF1): it means that each agent i values his bundle at least as much as the marginal utility of (the bundle of j with the best item removed from it). Formally: *<math>\forall i,j: ~~~ \exists Y\subseteq X_j: ~~~|Y|\leq 1, ~~~V_i(X_i) \geq V_i(X_i \cup (X_j\setminus Y)) - V_i(X_i) </math>

Similar approximations have been found for more general utility functions:

Mixed valuations Martin and Walsh show that, with "mixed manna" (- additive valuations that may be both positive and negative), maximizing the product of utilities (or minimizing the product of minus the utilities) does not ensure EF1. They also prove that an EFX3 allocation may not exist even with identical utilities. However, with tertiary utilities, EFX and PO allocations, or EFX3 and PO allocations always exist; and with identical utilities, EFX and PO allocations always exist. For these cases there are polynomial-time algorithms.

Increasing price algorithm Barman, Krishanmurthy and Vaish presented a pseudo-polynomial time algorithm for finding PE+EF1 allocations for positive additive valuations. They proved the following results.

Basic concepts Their algorithm is based on the notion of competitive-equilibrium in a Fisher market. It uses the following concepts.

Now, assume that we have an instance with general valuations. We run the above algorithm on a rounded instance, where each valuation is rounded upwards to the nearest power of (1+e). Note that for each agent i and object o, the rounded value Vi(o) is bounded between Vi(o) and (1+e)Vi(o*).

Since every EF1 allocation is PROP1, a PE+PROP1 allocation exists in indivisible item allocation too; the question is whether such allocations can be found by faster algorithms than the ones for PE+EF1.

They presented an algorithm finding a PE+PROP1 allocation of chores. The algorithm is strongly polynomial-time if either the number of objects or the number of agents (or both) are fixed.

Efficient approximately equitable allocation An allocation of objects is called equitable (EQ) if the subjective value of all agents is the same. The motivation for studying this notion comes from experiments showing that human subjects prefer equitable allocations to envy-free ones. An allocation is called equitable up to one item (EQ1) if, for every two agents i and j, if at most one item is removed from the bundle of j, then the subjective value of i is at least that of j. Formally, for all i, j:

<math>\exists Y\subseteq X_j: ~~~|Y|\leq 1, ~~~V_i(X_i) \geq V_j(X_j\setminus Y)</math>. A stronger notion is equitable up to any item (EQx): for every two agents i and j, if any single item is removed from the bundle of j, then the subjective value of i is at least that of j: <math>\forall y\in X_j: ~~~V_i(X_i) \geq V_j(X_j\setminus \{y\})</math>. EQx allocations were first studied by Gourves, Monnot and Tlilane, who used a different term: "near jealosy-free". They proved that a partial EQx allocation of always exists, even with the additional requirement that the union of all allocated goods is a basis of a given matroid. They used an algorithm similar to the envy-graph-procedure. Suksompong proved that an EQ1 allocation exists even with the additional requirement that all allocations must be contiguous subsets of a line.

Algorithms for a small number of agents Bredereck, Kaczmarcyk, Knop and Niedermeier study a setting where there are few agents (small n) and few item-types (small m), the utility per item-type is upper-bounded (by V), but there can be many items of each type. For this setting, they prove the following meta-theorem (Theorem 2): Given an efficiency criterion E, and a fairness criterion F, if  <math>n+u_{\max}+m</math> is fixed, then it is possible to decide in polynomial time whether exists an allocation that is both E-efficient and F-fair, as long as E and F satisfy the following properties:

Then, they prove that several common fairness and efficiency criteria satisfy these properties, including:

Fairness notions: envy-freeness, EF1, EFx, graph-EF (when the agents envy only their neighbors on a fixed graph), egalitarian, maximin-share, and average-group-envy-freeness (where each group of agents values its share as the arithmetic mean of the members' utilities). Efficiency notions: Pareto-efficiency, graph Pareto-efficiency (where Pareto-domination considers only exchanges between neighbors on a fixed graph), and group-Pareto-efficiency.   An allocation X as k-group-Pareto-efficient (GPEk) if there is no other allocation Y that is at least as good (by arithmetic mean of utilities) for all groups of size k, and strictly better for at least one group of size k.  Note that GPE1 is equivalent to Pareto-efficiency. GPEn is equivalent to a utilitarian-maximal allocation, since for the grand group G of size n, the arithmetic-mean utility is equivalent to the sum of all agents' utilities. For all k, GPEk+1 implies GPEk'. The runtime of their algorithm is polynomial in the input size (in bits) times <math>d^{2.5 d}</math>, where *d'' is the number of variables in the resulting ILP, which is <math>d = m(n+1) + m(n+1)\cdot(4\cdot (4n\cdot V+1)^n)^{m(n+1)}</math>.

See also * Fractional Pareto efficiency#Finding fair and fPO allocations

References ## See also *[[efficient-envy-free-division]] - for divisible resources. There is no need for approximations since exact fairness is possible. *[[envy-free-item-allocation]] - without the requirement of PE. *[[rental-harmony]] - with an additional restriction that each agent must get a single item.