TY - UNPB

T1 - Sharing sequentially triggered losses

T2 - Automatic conflict resolution through smart contracts

AU - Gudmundsson, Jens

AU - Hougaard, Jens Leth

AU - Ko, Chiu Yu

PY - 2020

Y1 - 2020

N2 - When actions by one agent force another to deviate from their agreements with a third, "victim" turns into "injurer" in the chain's subsequent steps. Should the chain's initiator be responsible only for the direct harm they cause or also bear some of the indirect losses they trigger? Through an axiomatic approach, wecharacterize the class of fixed-fraction rules, which strike a balance between incentives for accident prevention on the one hand and fairness in terms of how liabilities are assigned on the other. Their simple design make the rules ideal for practical implementation through smart contracts, enabling automated conflict resolution.

AB - When actions by one agent force another to deviate from their agreements with a third, "victim" turns into "injurer" in the chain's subsequent steps. Should the chain's initiator be responsible only for the direct harm they cause or also bear some of the indirect losses they trigger? Through an axiomatic approach, wecharacterize the class of fixed-fraction rules, which strike a balance between incentives for accident prevention on the one hand and fairness in terms of how liabilities are assigned on the other. Their simple design make the rules ideal for practical implementation through smart contracts, enabling automated conflict resolution.

M3 - Working paper

T3 - IFRO Working Paper

BT - Sharing sequentially triggered losses

PB - Department of Food and Resource Economics, University of Copenhagen

ER -