1. the ADJUSTED Winner (SOL: DM.7)
Homework (day 25):
Worksheet (day 25)
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2. Adjusted Winner Divorce Procedure
This procedure is for handling property settlements in a divorce or in an inheritance involving only two heirs.
Theorem: For two parties, the adjusted winner procedure produces an allocation based on each players assignment of 100 points over the items to be divided.

3. Properties of the Adjusted Winner
The allocation is equitable: this means that both players receive the same number of points.
The allocation is ENVY- free: this means that neither player would be happier with what the others received.
The allocation PARETO- optimal: this means that no other allocation, arrived at by any party better off without making the other party worse off.

4. Assign each person each item according to who bids the highest.
Total circled.
To slide the points, you have to take the one they want the least.
Can’t slide anymore because you do not want to change who has the most points.
5. Then decide which item they want to share because according to adjusted winner procedures they have to end up being equal.

5. To determine the item that will be shared, make a fraction
To determine the item that will be shared, make a fraction. Person giving up the item will be the denominator. The largest fraction is the item that will be shared because that means the person giving the item has less interest in that item than the other items he has.
Set up the equation. It does not matter who is assigned (x) and who is assigned (1-x)
Solve for x
X = ___________ and 1-x = ____________
10. List what each one received.

6. Adjusted Winner

7. Trump Divorce Point allocation Point Allocation Martial asset Donald
Ivana
Connecticut estate 10 38
Palm Beach Mansion 40 20
Trump Plaza Apt 30
Trump Tower Triplex
Cash & Jewlery 2

8. Ex: Supposed Calvin & Hobbs discovered a sunken pirate ship and must divide their loot.
Object
Calvin
Hobbes
Cannon 10 5
Anchor 20
Unopened Chest 15
Doubloon 11 14
Figure Head 30
Sword 6
Cannon Ball 1
Wooden Leg 2
Flag
Crow’s Nest