# How to create a fair distribution algorithm?

• I
• riay00
In summary, the math formula for distributing funds in a fair way is as follows: - Take the total number of continuous days a member has served the community - Divide the total pool by the total number of continuous days the member has served - Multiply the result by the per-day figure - Add the result to the member's current balance in the pool
riay00
Hi,
I am a math noob and need to understand what is the best mathematical formula for fair distribution. The problem statement is as follows:

We choose 2 numbers at a given time to distribute donations at a particular instance in time (The numbers from 1-6500 represent community members ID). The maximum % of the total resource we need to distribute between them is 10% from the overall resource pool. For fair distribution, we are counting the number of days they have served the community continuously. The longest one has served in days gets the appropriate amount of the distribution. I (Being very bad at mathematics come up with the following formula and hope no one will grill me for that :) ). Was looking for some expert to teach me how to come up with an algorithm for that:

- Fd = T * (Rn) * (P) /100
T = Number of days (Variable number)
Rn = Total Random number (Static 2)
P = Total % of resource from the pool (Static 10)

If I understand correctly, you want to distribute funds from a pool to members in a community so that the distribution to each member is in proportion to that member's continuous days service.

The first task is to figure out how many total member continuous-days you have to distribute over.##D = \sum_\text{members} D_\text{member}##. Just add them up.

Now the distribution for each member-day is the total pool divided by the total member-days in the distribution. Each day earns ##\frac{P}{D}##.

So each member gets his number of continuous days multiplied by the above per-day figure.

If one is doing this by computer and needs for the distribution to be fair, for each member to receive an even number of pennies and for the total distribution to come to the right number of pennies then there is an approach that I have used in the past...

Take the members one at a time. Sort from shortest tenure to longest if you wish. Give the first member their distribution and roll a random number for the last fractional penny that they may be entitled to. So if a member is owed ##10 \frac{1}{3}## cents then they get ten cents with a random chance of one in three of getting eleven cents instead.

Subtract that member from the pool of member-days remaining to distribute over and from the pool of funds remaining to distribute.

Proceed to the next member and repeat until the final member gets whatever is left in the pool.

## 1. What is a fair distribution algorithm?

A fair distribution algorithm is a method used to allocate resources or distribute goods in a way that is considered just and equitable. This can be applied to various scenarios, such as dividing up a budget or distributing food to a population.

## 2. How do you determine what is fair in a distribution algorithm?

Determining what is fair in a distribution algorithm can be a complex process and often involves considering various factors such as need, contribution, and equality. It may also involve consulting with experts and stakeholders to ensure that the algorithm is perceived as fair by all parties involved.

## 3. What are some common challenges in creating a fair distribution algorithm?

Some common challenges in creating a fair distribution algorithm include balancing competing interests and priorities, ensuring transparency and accountability, and accounting for potential biases or inequalities in the distribution process.

## 4. Are there any established guidelines or principles for creating a fair distribution algorithm?

Yes, there are various principles and guidelines that can be used as a framework for creating a fair distribution algorithm. These may include principles of distributive justice, such as fairness, impartiality, and proportionality, as well as guidelines for promoting inclusivity and addressing potential biases.

## 5. How can technology be used to create a fair distribution algorithm?

Technology can play a significant role in creating a fair distribution algorithm by automating the process, reducing potential biases, and increasing efficiency and transparency. However, it is essential to ensure that the technology used is unbiased and does not perpetuate existing inequalities.

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