2011
DOI: 10.1007/s00182-011-0312-8
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Strategic cooperation in cost sharing games

Abstract: In this paper we consider strategic cost sharing games with so-called arbitrary sharing based on various combinatorial optimization problems, such as vertex and set cover, facility location, and network design problems. We concentrate on the existence and computational complexity of strong equilibria, in which no coalition can improve the cost of each of its members.Our main result reveals a connection between strong equilibrium in strategic games and the core in traditional coalitional cost sharing games stud… Show more

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Cited by 19 publications
(16 citation statements)
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“…Research on ridesharing has focused on the coordination of itineraries and travel schedules, on effective methods of encouraging commuters to share travel expenses and reduce pollution, and on the use of new communication capabilities that have been introduced into the market in the last two decades. The need to understand cost-sharing in large unregulated settings such as the Internet or traffic networks has led to recent studies in algorithmic game theory on the design of strategic cost-sharing games to obtain Nash equilibrium properties (Chen, Roughgarden, and Valiant, 2010;Hoefer, 2013).…”
Section: Research Contextmentioning
confidence: 99%
See 1 more Smart Citation
“…Research on ridesharing has focused on the coordination of itineraries and travel schedules, on effective methods of encouraging commuters to share travel expenses and reduce pollution, and on the use of new communication capabilities that have been introduced into the market in the last two decades. The need to understand cost-sharing in large unregulated settings such as the Internet or traffic networks has led to recent studies in algorithmic game theory on the design of strategic cost-sharing games to obtain Nash equilibrium properties (Chen, Roughgarden, and Valiant, 2010;Hoefer, 2013).…”
Section: Research Contextmentioning
confidence: 99%
“…A fundamental question in economics, transportation science, computer science, and management science concerns the sharing of the cost of joint investment, or the reward for joint effort, in a fair, efficient, and stable way (e.g., Hoefer, 2013;Moulin, 2002;Young, 1994). Most research on cost-sharing in economics has followed two alternative approaches.…”
Section: Introductionmentioning
confidence: 99%
“…This implies existence of separable protocols with optimal PNE and PoS 1 for a variety of classes of games, including matroid games with uniform discrete-concave costs [36], uncapacitated facility location with fixed [14] and discrete-concave costs [39], connection games (single-source [5,38] and other classes [2,3,40]) with fixed costs, and more. However, the large majority of these results are inefficient, i.e., there is no polynomial-time algorithm that computes the required optimal equilibrium.…”
Section: Proposition 1 If For a Cost Sharing Model The Non-cooperatmentioning
confidence: 99%
“…An SPoA of Θ(log n) is given in [32]. Other works that study arbitrary costsharing in network design games include those in [33][34][35][36][37][38]. Arbitrary cost sharing in the presence of convex costs was studied by Georgoulaki et al [39].…”
Section: Related Workmentioning
confidence: 99%