Rationing with baselines: the composition extension operator

@article{Hougaard2013RationingWB,
  title={Rationing with baselines: the composition extension operator},
  author={Jens Leth Hougaard and Juan D. Moreno-Ternero and Lars Peter \Osterdal},
  journal={Annals OR},
  year={2013},
  volume={211},
  pages={179-191}
}
We introduce a new operator for general rationing problems in which, besides conflicting claims, individual baselines play an important role in the rationing process. The operator builds onto ideas of composition, which are not only frequent in rationing, but also in related problems such as bargaining, choice, and queuing. We characterize the operator and show how it preserves some standard axioms in the literature on rationing. We also relate it to recent contributions in such literature.