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Minimum cost arborescences

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  • Bhaskar Dutta

    ()
    (University of Warwick, UK)

  • Debasis Mishra

    ()
    (Indian Statistical Institute, New Delhi)

Abstract

In this paper, we analyze the cost allocation problem when a group of agents or nodes have to be connected to a source, and where the cost matrix describing the cost of connecting each pair of agents is not necessarily symmetric, thus extending the well-studied problem of minimum cost spanning tree games, where the costs are assumed to be symmetric. The focus is on rules which satisfy axioms representing incentive and fairness properties. We show that while some results are similar, there are also signilcant dikerences between the frameworks corresponding to symmetric and asymmetric cost matrices.

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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 08-12.

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Length: 30 pages
Date of creation: Dec 2008
Date of revision:
Handle: RePEc:ind:isipdp:08-12

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Keywords: directed networks; cost allocation; core stability; continuity; cost monotonicity;

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References

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  1. Stefano Moretti & Rodica Branzei & Henk Norde & Stef Tijs, 2004. "The P-value for cost sharing in minimum," Theory and Decision, Springer, vol. 56(2_2), pages 47-61, 02.
  2. Bogomolnaia, Anna & Moulin, Hervé, 2010. "Sharing a minimal cost spanning tree: Beyond the Folk solution," Games and Economic Behavior, Elsevier, vol. 69(2), pages 238-248, July.
  3. Norde, Henk & Moretti, Stefano & Tijs, Stef, 2004. "Minimum cost spanning tree games and population monotonic allocation schemes," European Journal of Operational Research, Elsevier, vol. 154(1), pages 84-97, April.
  4. Tijs, S.H. & Moretti, S. & Brânzei, R. & Norde, H.W., 2005. "The Bird Core for Minimum Cost Spanning Tree problems Revisited: Monotonicity and Additivity Aspects," Discussion Paper 2005-3, Tilburg University, Center for Economic Research.
  5. Bergantinos, Gustavo & Vidal-Puga, Juan J., 2007. "A fair rule in minimum cost spanning tree problems," Journal of Economic Theory, Elsevier, vol. 137(1), pages 326-352, November.
  6. Gustavo Bergantiños & Juan Vidal-Puga, 2007. "The optimistic TU game in minimum cost spanning tree problems," International Journal of Game Theory, Springer, vol. 36(2), pages 223-239, October.
  7. Bhaskar Dutta & Anirban Kar, 2002. "Cost monotonicity, consistency and minimum cost spanning tree games," Indian Statistical Institute, Planning Unit, New Delhi Discussion Papers 02-04, Indian Statistical Institute, New Delhi, India.
  8. Brânzei, R. & Moretti, S. & Norde, H.W. & Tijs, S.H., 2003. "The P-Value for Cost Sharing in Minimum Cost Spanning Tree Situations," Discussion Paper 2003-129, Tilburg University, Center for Economic Research.
  9. Bergantiños, Gustavo & Kar, Anirban, 2010. "On obligation rules for minimum cost spanning tree problems," Games and Economic Behavior, Elsevier, vol. 69(2), pages 224-237, July.
  10. 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.
  11. Feltkamp, V. & Tijs, S.H. & Muto, S., 1994. "On the irreducible core and the equal remaining obligations rule of minimum cost spanning extension problems," Discussion Paper 1994-106, Tilburg University, Center for Economic Research.
  12. Hart, Sergiu & Mas-Colell, Andreu, 1989. "Potential, Value, and Consistency," Econometrica, Econometric Society, vol. 57(3), pages 589-614, May.
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Cited by:
  1. Bergantiños, Gustavo & Martínez, Ricardo, 2014. "Cost allocation in asymmetric trees," European Journal of Operational Research, Elsevier, vol. 237(3), pages 975-987.

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