Relationships between centrality measures and VCG mechanism
In this work we show that some recent centrality measures in network analysis are exactly an application of the principles underlying the Vickrey-Clarke-Groves (VCG) mechanism. We then present specific examples of completely different frameworks which highlights how these centrality measures Ã la VCG can indeed provide valuable information to fairly assess the importance of the analyzed network elements. However, by taking inspiration from the relevant literature on the VCG auction design, we verify that in general cases centrality measures Ã la VCG can determine a poor estimate of the actual significance of some network elements; therefore, we provide a general approach to effectively improve such estimates, based on applying the VCG rule to suitable groups of elements of the network.
|Date of creation:||2014|
|Contact details of provider:|| Phone: +390677274140|
Fax: +39 0677274129
Web page: http://www.dis.uniroma1.it
More information through EDIRC
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Jean Tirole, 1988. "The Theory of Industrial Organization," MIT Press Books, The MIT Press, edition 1, volume 1, number 0262200716, September.
- Gómez, Daniel & Figueira, José Rui & Eusébio, Augusto, 2013. "Modeling centrality measures in social network analysis using bi-criteria network flow optimization problems," European Journal of Operational Research, Elsevier, vol. 226(2), pages 354-365.
- Milgrom,Paul, 2004.
"Putting Auction Theory to Work,"
Cambridge University Press, number 9780521551847, December.
- Milgrom,Paul, 2004. "Putting Auction Theory to Work," Cambridge Books, Cambridge University Press, number 9780521536721, December.
- Edward Clarke, 1971. "Multipart pricing of public goods," Public Choice, Springer, vol. 11(1), pages 17-33, September.
- Ausubel Lawrence M & Milgrom Paul R, 2002. "Ascending Auctions with Package Bidding," The B.E. Journal of Theoretical Economics, De Gruyter, vol. 1(1), pages 1-44, August.
- Lawrence M. Ausubel & Paul Milgrom, 2002. "Ascending Auctions with Package Bidding," Working Papers 02004, Stanford University, Department of Economics.
- William Vickrey, 1961. "Counterspeculation, Auctions, And Competitive Sealed Tenders," Journal of Finance, American Finance Association, vol. 16(1), pages 8-37, 03.
- Groves, Theodore, 1973. "Incentives in Teams," Econometrica, Econometric Society, vol. 41(4), pages 617-631, July.
- Avenali, Alessandro, 2009. "Exploring the VCG mechanism in combinatorial auctions: The threshold revenue and the threshold-price rule," European Journal of Operational Research, Elsevier, vol. 199(1), pages 262-275, November.
- N. Lesca, 2010. "Introduction," Post-Print halshs-00640602, HAL. Full references (including those not matched with items on IDEAS)
When requesting a correction, please mention this item's handle: RePEc:aeg:report:2014-05. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Antonietta Angelica Zucconi)
If references are entirely missing, you can add them using this form.