Population monotonicity in fair division of multiple indivisible goods
We consider the fair division of a set of indivisible goods where each agent can receive more than one good, and monetary transfers are allowed. We show that if there are at least three goods to allocate, no efficient solution is population monotonic (PM) on the superadditive Cartesian product preference domain, and the Shapley solution is not PM even on the submodular domain. Moreover, the incompatibility between efficiency and PM prevails in the case of at least four goods on the subadditive Cartesian product domain. We also show that in case there are only two goods to allocate, the Shapley solution and the constrained egalitarian solution are PM on the subadditive preference domain but not on the full preference domain. For the two-good case, we provide a new tool (the hybrid solutions) to construct efficient solutions that are PM on the entire monotone preference domain. The hybrid Shapley solution and the hybrid constrained egalitarian solution are two important examples of such solutions.
The paper examines the structure, governance, and balance sheets of state-controlled banks in Russia, which accounted for over 55 percent of the total assets in the country's banking system in early 2012. The author offers a credible estimate of the size of the country's state banking sector by including banks that are indirectly owned by public organizations. Contrary to some predictions based on the theoretical literature on economic transition, he explains the relatively high profitability and efficiency of Russian state-controlled banks by pointing to their competitive position in such functions as acquisition and disposal of assets on behalf of the government. Also suggested in the paper is a different way of looking at market concentration in Russia (by consolidating the market shares of core state-controlled banks), which produces a picture of a more concentrated market than officially reported. Lastly, one of the author's interesting conclusions is that China provides a better benchmark than the formerly centrally planned economies of Central and Eastern Europe by which to assess the viability of state ownership of banks in Russia and to evaluate the country's banking sector.
The paper examines the principles for the supervision of financial conglomerates proposed by BCBS in the consultative document published in December 2011. Moreover, the article proposes a number of suggestions worked out by the authors within the HSE research team.