IDEAS home Printed from
   My bibliography  Save this paper

Incremental Cost Sharing: Characterization by Strategy-Proofness


  • Moulin, Herve


Each one of n users consumes an idiosyncratic commodity produced in indivisible units. The n commodities are jointly produced by a central facility and the total cost must be shared by the users. Under convex preferences and increasing marginal costs, we characterize the set of incentive compatible (coalition strategy- proof) cost sharing mechanisms. These mechanisms generalize the familiar incremental method where agent 1 pays his Stand Alone cost, agent 2 pays the incremental cost (to serve agents 1 and 2 instead of agent 1), and so on. When the commodities become more and more divisible, some of these mechanisms treat agents symmetrically.

Suggested Citation

  • Moulin, Herve, 1995. "Incremental Cost Sharing: Characterization by Strategy-Proofness," Working Papers 95-28, Duke University, Department of Economics.
  • Handle: RePEc:duk:dukeec:95-28

    Download full text from publisher

    To our knowledge, this item is not available for download. To find whether it is available, there are three options:
    1. Check below whether another version of this item is available online.
    2. Check on the provider's web page whether it is in fact available.
    3. Perform a search for a similarly titled item that would be available.

    More about this item


    Access and download statistics


    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:duk:dukeec:95-28. 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: (Department of Economics Webmaster). General contact details of provider: .

    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.

    We have no references for this item. You can help adding them by using 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 RePEc Author Service 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.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.