No advantageous merging in minimum cost spanning tree problems
AbstractIn the context of cost sharing in minimum cost spanning tree problems, we introduce a property called No Advantageous Merging. This property implies that no group of agents can be better off claiming to be a single node. We show that the sharing rule that assigns to each agent his own connection cost (the Bird rule) satisfies this property. Moreover, we provide a characterization of the Bird rule using No Advantageous Merging.
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Bibliographic InfoPaper provided by University Library of Munich, Germany in its series MPRA Paper with number 601.
Date of creation: 24 Oct 2006
Date of revision:
Minimum cost spanning tree problems; cost sharing; Bird rule; No Advantageous Merging;
Find related papers by JEL classification:
- D61 - Microeconomics - - Welfare Economics - - - Allocative Efficiency; Cost-Benefit Analysis
- C71 - Mathematical and Quantitative Methods - - Game Theory and Bargaining Theory - - - Cooperative Games
- D7 - Microeconomics - - Analysis of Collective Decision-Making
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