We analyze a general model of rationing in which agents have baselines, in addition to claims against the (insufficient) endowment of the good to be allocated. Many real-life problems fit this general model (e.g., bankruptcy with prioritized claims, resource allocation in the public health care...

A modification of the proportional solution for bargaining problems with claims is proposed. This solution is constructed by considering an endogenous reference point. Characterization results of the aforementioned solution are provided. <!--ID="" Acknowledgements. Thanks are due to Carmen Marco, Gert-Jan Otten, Antonio Villar, Oskar Volij and two anonymous referees for helpful suggestions. Financial support from the DGICYT, under project PB92-0342, is gratefully acknowledged.-->