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We define the notion of an \u03b5-fair trading path, a path in security space along which no order executes at a price more than \u03b5 above its limit, and every order executes when its market price falls more than \u03b5 below its limit. We show that, under a certain supermodularity condition, a fair trading path exists for which the endpoint is efficient, but that under general conditions reaching an efficient endpoint via an \u03b5-fair trading path is not possible. We develop an algorithm for operating a continuous market maker with limit orders that respects the \u03b5-fairness conditions in the general case. We conduct simulations of our algorithm using real combinatorial predictions made during the 2008 US presidential election and evaluate it against a natural baseline according to trading volume, social welfare, and violations of the two fairness conditions.<\/jats:p>","DOI":"10.1145\/3274643","type":"journal-article","created":{"date-parts":[[2018,10,1]],"date-time":"2018-10-01T12:15:55Z","timestamp":1538396155000},"page":"1-26","update-policy":"https:\/\/doi.org\/10.1145\/crossmark-policy","source":"Crossref","is-referenced-by-count":1,"title":["Integrating Market Makers, Limit Orders, and Continuous Trade in Prediction Markets"],"prefix":"10.1145","volume":"6","author":[{"given":"Hoda","family":"Heidari","sequence":"first","affiliation":[{"name":"ETH Z\u00fcrich, Zurich, Switzerland"}]},{"given":"S\u00e9bastien","family":"Lahaie","sequence":"additional","affiliation":[{"name":"Google Research, New York, USA"}]},{"given":"David M.","family":"Pennock","sequence":"additional","affiliation":[{"name":"Microsoft Research, New York, USA"}]},{"given":"Jennifer Wortman","family":"Vaughan","sequence":"additional","affiliation":[{"name":"Microsoft Research, New York, USA"}]}],"member":"320","published-online":{"date-parts":[[2018,10]]},"reference":[{"key":"e_1_2_1_1_1","doi-asserted-by":"publisher","DOI":"10.1145\/2465769.2465777"},{"key":"e_1_2_1_2_1","doi-asserted-by":"publisher","DOI":"10.1287\/opre.1110.0922"},{"key":"e_1_2_1_3_1","doi-asserted-by":"publisher","DOI":"10.5750\/jpm.v3i1.451"},{"key":"e_1_2_1_4_1","doi-asserted-by":"publisher","DOI":"10.1016\/S1574-0722(07)00080-7"},{"key":"e_1_2_1_5_1","doi-asserted-by":"publisher","DOI":"10.1016\/S0014-2921(02)00240-4"},{"key":"e_1_2_1_6_1","unstructured":"S. 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