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|
|Date of revision:|
|Contact details of provider:|| Phone: +390677274140|
Fax: +39 0677274129
Web page: http://www.dis.uniroma1.it
More information through EDIRC
References listed on IDEAS
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.:
- Groves, Theodore, 1973. "Incentives in Teams," Econometrica, Econometric Society, vol. 41(4), pages 617-31, July.
- Jean Tirole, 1988. "The Theory of Industrial Organization," MIT Press Books, The MIT Press, edition 1, volume 1, number 0262200716, March.
- N. Lesca, 2010. "Introduction," Post-Print halshs-00640602, HAL.
- 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, Junio.
- 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.
- 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.
- William Vickrey, 1961. "Counterspeculation, Auctions, And Competitive Sealed Tenders," Journal of Finance, American Finance Association, vol. 16(1), pages 8-37, 03.
- Edward Clarke, 1971. "Multipart pricing of public goods," Public Choice, Springer, vol. 11(1), pages 17-33, September.
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 you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.
If references are entirely missing, you can add them using this form.
If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.
If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.
Please note that corrections may take a couple of weeks to filter through the various RePEc services.