IDEAS home Printed from https://ideas.repec.org/p/hal/cesptp/halshs-00583868.html
   My bibliography  Save this paper

The restricted core of games on distributive lattices: how to share benefits in a hierarchy

Author

Listed:
  • Michel Grabisch

    () (CES - Centre d'économie de la Sorbonne - UP1 - Université Panthéon-Sorbonne - CNRS - Centre National de la Recherche Scientifique)

  • Lijue Xie

    (China - chine)

Abstract

Finding a solution concept is one of the central problems in cooperative game theory, and the notion of core is the most popular solution concept since it is based on some rationality condition. In many real situations, not all possible coalitions can form, so that classical TU-games cannot be used. An interesting case is when possible coalitions are defined through a partial ordering of the players (or hierarchy). Then feasible coalitions correspond to teams of players, that is, one or several players with all their subordinates. In these situations, the core in its usual formulation may be unbounded, making its use difficult in practice. We propose a new notion of core, called the restricted core, which imposes efficiency of the allocation at each level of the hierarchy, is always bounded, and answers the problem of sharing benefits in a hierarchy. We show that the core we defined has properties very close to the classical case, with respect to marginal vectors, the Weber set, and balancedness.

Suggested Citation

  • Michel Grabisch & Lijue Xie, 2011. "The restricted core of games on distributive lattices: how to share benefits in a hierarchy," Université Paris1 Panthéon-Sorbonne (Post-Print and Working Papers) halshs-00583868, HAL.
  • Handle: RePEc:hal:cesptp:halshs-00583868
    DOI: 10.1007/s00186-010-0341-2
    Note: View the original document on HAL open archive server: https://halshs.archives-ouvertes.fr/halshs-00583868
    as

    Download full text from publisher

    File URL: https://halshs.archives-ouvertes.fr/halshs-00583868/document
    Download Restriction: no

    Other versions of this item:

    References listed on IDEAS

    as
    1. Hans Reijnierse & Jean Derks, 1998. "Note On the core of a collection of coalitions," International Journal of Game Theory, Springer;Game Theory Society, vol. 27(3), pages 451-459.
    2. Michel Grabisch & Lijue Xie, 2008. "The core of games on distributive lattices : how to share benefits in a hierarchy," Documents de travail du Centre d'Economie de la Sorbonne b08077, Université Panthéon-Sorbonne (Paris 1), Centre d'Economie de la Sorbonne, revised Sep 2009.
    3. Ambec, Stefan & Sprumont, Yves, 2002. "Sharing a River," Journal of Economic Theory, Elsevier, vol. 107(2), pages 453-462, December.
    4. Bilbao, J. M. & Lebron, E. & Jimenez, N., 1999. "The core of games on convex geometries," European Journal of Operational Research, Elsevier, vol. 119(2), pages 365-372, December.
    5. Michel Grabisch & Lijue Xie, 2007. "A new approach to the core and Weber set of multichoice games," Mathematical Methods of Operations Research, Springer;Gesellschaft für Operations Research (GOR);Nederlands Genootschap voor Besliskunde (NGB), vol. 66(3), pages 491-512, December.
    6. Gilles, Robert P & Owen, Guillermo & van den Brink, Rene, 1992. "Games with Permission Structures: The Conjunctive Approach," International Journal of Game Theory, Springer;Game Theory Society, vol. 20(3), pages 277-293.
    7. Michel Grabisch, 2013. "The core of games on ordered structures and graphs," Annals of Operations Research, Springer, vol. 204(1), pages 33-64, April.
    8. Derks, Jean J M & Gilles, Robert P, 1995. "Hierarchical Organization Structures and Constraints on Coalition Formation," International Journal of Game Theory, Springer;Game Theory Society, vol. 24(2), pages 147-163.
    9. Gabrielle Demange, 2004. "On Group Stability in Hierarchies and Networks," Journal of Political Economy, University of Chicago Press, vol. 112(4), pages 754-778, August.
    10. Michel Grabisch & Fabien Lange, 2007. "Games on lattices, multichoice games and the shapley value: a new approach," Mathematical Methods of Operations Research, Springer;Gesellschaft für Operations Research (GOR);Nederlands Genootschap voor Besliskunde (NGB), vol. 65(1), pages 153-167, February.
    11. repec:spr:compst:v:65:y:2007:i:1:p:153-167 is not listed on IDEAS
    12. René Brink & Gerard Laan & Valeri Vasil’ev, 2007. "Component efficient solutions in line-graph games with applications," Economic Theory, Springer;Society for the Advancement of Economic Theory (SAET), vol. 33(2), pages 349-364, November.
    13. repec:hal:journl:halshs-00178916 is not listed on IDEAS
    14. Faigle, U & Kern, W, 1992. "The Shapley Value for Cooperative Games under Precedence Constraints," International Journal of Game Theory, Springer;Game Theory Society, vol. 21(3), pages 249-266.
    15. Hsiao Chih-Ru & Raghavan T. E. S., 1993. "Shapley Value for Multichoice Cooperative Games, I," Games and Economic Behavior, Elsevier, vol. 5(2), pages 240-256, April.
    16. Ichiishi, Tatsuro, 1981. "Super-modularity: Applications to convex games and to the greedy algorithm for LP," Journal of Economic Theory, Elsevier, vol. 25(2), pages 283-286, October.
    17. repec:spr:compst:v:66:y:2007:i:3:p:491-512 is not listed on IDEAS
    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. Michel Grabisch, 2013. "The core of games on ordered structures and graphs," Annals of Operations Research, Springer, vol. 204(1), pages 33-64, April.
    2. Grabisch, Michel & Sudhölter, Peter, 2014. "On the restricted cores and the bounded core of games on distributive lattices," European Journal of Operational Research, Elsevier, vol. 235(3), pages 709-717.

    More about this item

    Keywords

    cooperative game; feasible coalition; core; hierarchy;

    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:hal:cesptp:halshs-00583868. 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: (CCSD). General contact details of provider: https://hal.archives-ouvertes.fr/ .

    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 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.

    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.