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Cost monotonicity, consistency and minimum cost spanning tree games

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Author Info

  • Bhaskar Dutta

    ()
    (University of Warwick)

  • Anirban Kar

    ()
    (Indian Statistical Institute, New Delhi)

Abstract

We propose a new cost allocation rule for minimum cost Spanning tree games. The new rule is a core selection and also satisfices cost monotonicity. We also give charqcterization theorems for the new rule as well as the much-studied Bird allocation. We show that the principal difference between these two rules is interms of their consistency properties.

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File URL: http://www.isid.ac.in/~pu/dispapers/dp02-04.pdf
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Bibliographic Info

Paper provided by Indian Statistical Institute, New Delhi, India in its series Indian Statistical Institute, Planning Unit, New Delhi Discussion Papers with number 02-04.

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Length: 38 pages
Date of creation: Jul 2002
Date of revision:
Handle: RePEc:ind:isipdp:02-04

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Related research

Keywords: spanning tree; cost allocation; core selection; cost monotonicity; consistency;

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  1. Sharkey, W.W., 1991. "Network Models in Economics," Papers 69, Bell Communications - Economic Research Group.
  2. William Thomson, 2011. "Consistency and its converse: an introduction," Review of Economic Design, Springer, vol. 15(4), pages 257-291, December.
  3. Peleg, B, 1986. "On the Reduced Game Property and Its Converse," International Journal of Game Theory, Springer, vol. 15(3), pages 187-200.
  4. Young, H.P., 1994. "Cost allocation," Handbook of Game Theory with Economic Applications, in: R.J. Aumann & S. Hart (ed.), Handbook of Game Theory with Economic Applications, edition 1, volume 2, chapter 34, pages 1193-1235 Elsevier.
  5. Daniel Granot & Michael Maschler, 1998. "Spanning network games," International Journal of Game Theory, Springer, vol. 27(4), pages 467-500.
  6. Kar, Anirban, 2002. "Axiomatization of the Shapley Value on Minimum Cost Spanning Tree Games," Games and Economic Behavior, Elsevier, vol. 38(2), pages 265-277, February.
  7. Hart, Sergiu & Mas-Colell, Andreu, 1989. "Potential, Value, and Consistency," Econometrica, Econometric Society, vol. 57(3), pages 589-614, May.
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