IDEAS home Printed from https://ideas.repec.org/p/hai/wpaper/201202.html
   My bibliography  Save this paper

Group Strategyproof Cost Sharing: The Role of Indifferences

Author

Listed:
  • Ruben Juarez

    (Department of Economics, University of Hawaii at Manoa)

Abstract

Every agent reports his willingness to pay for one unit of good. A mechanism allocates goods and cost shares to some agents. We characterize the group strategyproof (GSP) mechanisms under two alternative continuity conditions interpreted as tie-breaking rules. With the maximalist rule (MAX) an indi erent agent is always served. With the minimalist rule (MIN) an indi erent agent does not get a unit of good. GSP and MAX characterize the cross-monotonic mechanisms. These mechanisms are appropriate whenever symmetry is required. On the other hand, GSP andMIN characterize the sequential mechanisms. These mechanisms are appropriate whenever there is scarcity of the good. Our results are independent of an underlying cost function; they unify and strengthen earlier results for particular classes of cost functions.

Suggested Citation

  • Ruben Juarez, 2012. "Group Strategyproof Cost Sharing: The Role of Indifferences," Working Papers 201202, University of Hawaii at Manoa, Department of Economics.
    • Handle: RePEc:hai:wpaper:201202
    as

    Download full text from publisher

    File URL: http://www.economics.hawaii.edu/research/workingpapers/WP_12-2.pdf
    File Function: First version, 2012
    Download Restriction: no
    ---><---

    Other versions of this item:

    References listed on IDEAS

    as
    1. Lars Ehlers & Bettina Klaus, 2003. "Coalitional strategy-proof and resource-monotonic solutions for multiple assignment problems," Social Choice and Welfare, Springer;The Society for Social Choice and Welfare, vol. 21(2), pages 265-280, October.
    2. Szilvia Papai, 2000. "Strategyproof Assignment by Hierarchical Exchange," Econometrica, Econometric Society, vol. 68(6), pages 1403-1434, November.
    3. Hervé Moulin & Scott Shenker, 2001. "Strategyproof sharing of submodular costs:budget balance versus efficiency," Economic Theory, Springer;Society for the Advancement of Economic Theory (SAET), vol. 18(3), pages 511-533.
    4. Dutta, Bhaskar & Ray, Debraj, 1989. "A Concept of Egalitarianism under Participation Constraints," Econometrica, Econometric Society, vol. 57(3), pages 615-635, May.
    5. Itai Ashlagi & Shigehiro Serizawa, 2012. "Characterizing Vickrey allocation rule by anonymity," Social Choice and Welfare, Springer;The Society for Social Choice and Welfare, vol. 38(3), pages 531-542, March.
    6. Lars-Gunnar Svensson & Bo Larsson, 2002. "Strategy-proof and nonbossy allocation of indivisible goods and money," Economic Theory, Springer;Society for the Advancement of Economic Theory (SAET), vol. 20(3), pages 483-502.
    7. Mehta, Aranyak & Roughgarden, Tim & Sundararajan, Mukund, 2009. "Beyond Moulin mechanisms," Games and Economic Behavior, Elsevier, vol. 67(1), pages 125-155, September.
    8. Moulin Herve & Shenker Scott, 1994. "Average Cost Pricing versus Serial Cost Sharing: An Axiomatic Comparison," Journal of Economic Theory, Elsevier, vol. 64(1), pages 178-201, October.
    9. Sprumont, Yves, 1990. "Population monotonic allocation schemes for cooperative games with transferable utility," Games and Economic Behavior, Elsevier, vol. 2(4), pages 378-394, December.
    10. Deb, Rajat & Razzolini, Laura, 1999. "Voluntary cost sharing for an excludable public project," Mathematical Social Sciences, Elsevier, vol. 37(2), pages 123-138, March.
    11. Schummer, James, 2000. "Manipulation through Bribes," Journal of Economic Theory, Elsevier, vol. 91(2), pages 180-198, April.
    12. HervÊ Moulin, 1999. "Incremental cost sharing: Characterization by coalition strategy-proofness," Social Choice and Welfare, Springer;The Society for Social Choice and Welfare, vol. 16(2), pages 279-320.
    13. Mutuswami, Suresh, 2005. "Strategyproofness, Non-Bossiness and Group Strategyproofness in a cost sharing model," Economics Letters, Elsevier, vol. 89(1), pages 83-88, October.
    14. Ehlers, Lars, 2002. "Coalitional Strategy-Proof House Allocation," Journal of Economic Theory, Elsevier, vol. 105(2), pages 298-317, August.
    15. Ruben Juarez, 2008. "The worst absolute surplus loss in the problem of commons: random priority versus average cost," Economic Theory, Springer;Society for the Advancement of Economic Theory (SAET), vol. 34(1), pages 69-84, January.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Ruben Juarez & Michael Wu, 2019. "Routing-Proofness in Congestion-Prone Networks," Games, MDPI, vol. 10(2), pages 1-18, April.
    2. Juarez, Ruben & Ko, Chiu Yu & Xue, Jingyi, 2018. "Sharing sequential values in a network," Journal of Economic Theory, Elsevier, vol. 177(C), pages 734-779.
    3. Han, Lining & Juarez, Ruben, 2018. "Free intermediation in resource transmission," Games and Economic Behavior, Elsevier, vol. 111(C), pages 75-84.
    4. Shinozaki, Hiroki, 2024. "Robust group strategy-proof rules in the object allocation problem with money: The role of tie-breaking rules," Journal of Mathematical Economics, Elsevier, vol. 115(C).
    5. Hiroki Shinozaki, 2022. "Characterizing pairwise strategy-proof rules in object allocation problems with money," ISER Discussion Paper 1187, Institute of Social and Economic Research, The University of Osaka.
    6. Kazuhiko Hashimoto & Hiroki Saitoh, 2016. "Strategy-proof rules for an excludable public good," Social Choice and Welfare, Springer;The Society for Social Choice and Welfare, vol. 46(4), pages 749-766, April.
    7. Mehta, Aranyak & Roughgarden, Tim & Sundararajan, Mukund, 2009. "Beyond Moulin mechanisms," Games and Economic Behavior, Elsevier, vol. 67(1), pages 125-155, September.
    8. Karl Jandoc & Ruben Juarez, 2024. "Generalized consistent ranking and the formation of self-enforcing coalitions," Review of Economic Design, Springer;Society for Economic Design, vol. 28(1), pages 69-88, February.
    9. Mackenzie, Andrew & Trudeau, Christian, 2018. "Club good mechanisms: from free-riders to citizen-shareholders, from impossibility to characterization," Research Memorandum 012, Maastricht University, Graduate School of Business and Economics (GSBE).
    10. Ruben Juarez & Rajnish Kumar, 2013. "Implementing efficient graphs in connection networks," Economic Theory, Springer;Society for the Advancement of Economic Theory (SAET), vol. 54(2), pages 359-403, October.
    11. Juarez, Ruben & Nitta, Kohei & Vargas, Miguel, 2021. "Coalitional efficient profit-sharing," Economics Letters, Elsevier, vol. 204(C).
    12. Hagen, Martin, 2023. "Collusion-proof mechanisms for multi-unit procurement," Games and Economic Behavior, Elsevier, vol. 138(C), pages 281-298.
    13. Karl Jandoc & Ruben Juarez, 2019. "An Experimental Study of Self-Enforcing Coalitions," Games, MDPI, vol. 10(3), pages 1-32, August.
    14. Mackenzie, Andrew & Trudeau, Christian, 2023. "On Groves mechanisms for costly inclusion," Theoretical Economics, Econometric Society, vol. 18(3), July.
    15. Dobzinski, Shahar & Mehta, Aranyak & Roughgarden, Tim & Sundararajan, Mukund, 2018. "Is Shapley cost sharing optimal?," Games and Economic Behavior, Elsevier, vol. 108(C), pages 130-138.
    16. Jin Li & Jingyi Xue, 2013. "Egalitarian division under Leontief Preferences," Economic Theory, Springer;Society for the Advancement of Economic Theory (SAET), vol. 54(3), pages 597-622, November.
    17. Dütting, Paul & Talgam-Cohen, Inbal & Roughgarden, Tim, 2017. "Modularity and greed in double auctions," Games and Economic Behavior, Elsevier, vol. 105(C), pages 59-83.
    18. Paul Dütting & Vasilis Gkatzelis & Tim Roughgarden, 2017. "The Performance of Deferred-Acceptance Auctions," Mathematics of Operations Research, INFORMS, vol. 42(4), pages 897-914, November.
    19. Dütting, Paul & Talgam-Cohen, Inbal & Roughgarden, Tim, 2017. "Modularity and greed in double auctions," LSE Research Online Documents on Economics 83199, London School of Economics and Political Science, LSE Library.
    20. Karl Jandoc & Ruben Juarez, 2017. "Self-enforcing coalitions with power accumulation," International Journal of Game Theory, Springer;Game Theory Society, vol. 46(2), pages 327-355, May.
    21. Kwang Mong Sim, 2024. "A Strongly Group Strategyproof and Shill Resistant Bargaining Mechanism for Fog Resource Pricing," Dynamic Games and Applications, Springer, vol. 14(5), pages 1238-1267, November.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Hagen, Martin, 2023. "Collusion-proof mechanisms for multi-unit procurement," Games and Economic Behavior, Elsevier, vol. 138(C), pages 281-298.
    2. Yuji Fujinaka & Takuma Wakayama, 2011. "Secure implementation in Shapley–Scarf housing markets," Economic Theory, Springer;Society for the Advancement of Economic Theory (SAET), vol. 48(1), pages 147-169, September.
    3. Hashimoto, Kazuhiko & Saitoh, Hiroki, 2015. "Strategy-proof cost sharing under increasing returns: Improvement of the supremal welfare loss," Games and Economic Behavior, Elsevier, vol. 89(C), pages 101-121.
    4. Salvador Barberà, 2010. "Strategy-proof social choice," UFAE and IAE Working Papers 828.10, Unitat de Fonaments de l'Anàlisi Econòmica (UAB) and Institut d'Anàlisi Econòmica (CSIC).
    5. Roth, Alvin E. & Sonmez, Tayfun & Utku Unver, M., 2005. "Pairwise kidney exchange," Journal of Economic Theory, Elsevier, vol. 125(2), pages 151-188, December.
    6. Anna Bogomolnaia & Herve Moulin, 2004. "Random Matching Under Dichotomous Preferences," Econometrica, Econometric Society, vol. 72(1), pages 257-279, January.
    7. Jordi Massó & Antonio Nicoloó & Tridib Sharma & Levent Ülkü, 2013. "On Equal Cost Sharing in the Provision of an Excludable Public Good," Working Papers 1306, Centro de Investigacion Economica, ITAM.
    8. Kazuhiko Hashimoto & Hiroki Saitoh, 2016. "Strategy-proof rules for an excludable public good," Social Choice and Welfare, Springer;The Society for Social Choice and Welfare, vol. 46(4), pages 749-766, April.
    9. Kazuhiko Hashimoto & Kohei Shiozawa, 2018. "Strategy-Proofness and Efficiency of Probabilistic Mechanisms for Excludable Public Good," Working Papers e118, Tokyo Center for Economic Research.
    10. Yi, Jianxin & Li, Yong, 2016. "A general impossibility theorem and its application to individual rights," Mathematical Social Sciences, Elsevier, vol. 81(C), pages 79-86.
    11. Massó, Jordi & Nicolò, Antonio & Sen, Arunava & Sharma, Tridib & Ülkü, Levent, 2015. "On cost sharing in the provision of a binary and excludable public good," Journal of Economic Theory, Elsevier, vol. 155(C), pages 30-49.
    12. Sonmez, Tayfun & Utku Unver, M., 2005. "House allocation with existing tenants: an equivalence," Games and Economic Behavior, Elsevier, vol. 52(1), pages 153-185, July.
    13. Balireddi, Sindhura & Uhan, Nelson A., 2012. "Cost-sharing mechanisms for scheduling under general demand settings," European Journal of Operational Research, Elsevier, vol. 217(2), pages 270-277.
    14. Youngsub Chun & Manipushpak Mitra & Suresh Mutuswami, 2014. "Egalitarian equivalence and strategyproofness in the queueing problem," Economic Theory, Springer;Society for the Advancement of Economic Theory (SAET), vol. 56(2), pages 425-442, June.
    15. Michel Le Breton & Juan Moreno-Ternero & Alexei Savvateev & Shlomo Weber, 2013. "Stability and fairness in models with a multiple membership," International Journal of Game Theory, Springer;Game Theory Society, vol. 42(3), pages 673-694, August.
    16. Ruben Juarez & Rajnish Kumar, 2013. "Implementing efficient graphs in connection networks," Economic Theory, Springer;Society for the Advancement of Economic Theory (SAET), vol. 54(2), pages 359-403, October.
    17. Dobzinski, Shahar & Mehta, Aranyak & Roughgarden, Tim & Sundararajan, Mukund, 2018. "Is Shapley cost sharing optimal?," Games and Economic Behavior, Elsevier, vol. 108(C), pages 130-138.
    18. Minghui Lai & Weili Xue & Qian Hu, 2019. "An Ascending Auction for Freight Forwarder Collaboration in Capacity Sharing," Transportation Science, INFORMS, vol. 53(4), pages 1175-1195, July.
    19. Chen, Jing & Micali, Silvio, 2012. "Collusive dominant-strategy truthfulness," Journal of Economic Theory, Elsevier, vol. 147(3), pages 1300-1312.
    20. Georgiou, Konstantinos & Swamy, Chaitanya, 2019. "Black-box reductions for cost-sharing mechanism design," Games and Economic Behavior, Elsevier, vol. 113(C), pages 17-37.

    More about this item

    Keywords

    ;
    ;
    ;
    ;

    JEL classification:

    • C72 - Mathematical and Quantitative Methods - - Game Theory and Bargaining Theory - - - Noncooperative Games
    • D44 - Microeconomics - - Market Structure, Pricing, and Design - - - Auctions
    • D71 - Microeconomics - - Analysis of Collective Decision-Making - - - Social Choice; Clubs; Committees; Associations
    • D82 - Microeconomics - - Information, Knowledge, and Uncertainty - - - Asymmetric and Private Information; Mechanism Design

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    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:hai:wpaper:201202. See general information about how to correct material in RePEc.

    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 CitEc recognized a bibliographic reference but did not link an item in RePEc 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 RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Web Technician (email available below). General contact details of provider: https://edirc.repec.org/data/deuhius.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.