A weighted position value
We provide a generalization of the position value (Meessen 1988) that allows players to benefit from transfers of worth by investing in their communication links. The player who invests the most in a communication link obtains a compensation from the second one. We characterize this new allocation rule on the class of communication situations with cycle-free graphs by means of six axioms. The first two axioms, component efficiency and superfluous link property, are used to characterize the position value (Borm, Owen, and Tijs (1992)). Quasi-additivity is a weak version of the standard additivity axiom. Link decomposability captures the fact that the insurance system only allows compensations between players who share a link. Weak positivity states that if the communicative strength of a link is non null, its adjacent players cannot obtain a null payoff. Finally, weak power inversion reflects the compensation mechanism.
|Date of creation:||2010|
|Date of revision:|
|Contact details of provider:|| Postal: |
Web page: http://www.kgk.uni-obuda.hu
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.:
- Martin Shubik, 1961.
"Incentives, Decentralized Control, the Assignment of Joint Costs and Internal Pricing,"
Cowles Foundation Discussion Papers
112, Cowles Foundation for Research in Economics, Yale University.
- Martin Shubik, 1962. "Incentives, Decentralized Control, the Assignment of Joint Costs and Internal Pricing," Management Science, INFORMS, vol. 8(3), pages 325-343, April.
- repec:ner:tilbur:urn:nbn:nl:ui:12-154855 is not listed on IDEAS
- repec:spr:compst:v:52:y:2000:i:1:p:39-56 is not listed on IDEAS
- Marco Slikker, 2005. "A characterization of the position value," International Journal of Game Theory, Springer, vol. 33(4), pages 505-514, November.
- Guillaume HAERINGER, 1999.
"A New Weight Scheme for the Shapley Value,"
Working Papers of BETA
9910, Bureau d'Economie Théorique et Appliquée, UDS, Strasbourg.
- Borm, P.E.M. & Owen, G. & Tijs, S.H., 1992. "On the position value for communication situations," Other publications TiSEM 5a8473e4-1df7-42df-ad53-f, Tilburg University, School of Economics and Management.
- Ehud Kalai & Dov Samet, 1983. "On Weighted Shapley Values," Discussion Papers 602, Northwestern University, Center for Mathematical Studies in Economics and Management Science.
- repec:dgr:uvatin:20040095 is not listed on IDEAS
- Chun, Youngsub, 1991. "On the Symmetric and Weighted Shapley Values," International Journal of Game Theory, Springer, vol. 20(2), pages 183-90.
When requesting a correction, please mention this item's handle: RePEc:pkk:wpaper:1008.rdf. 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: (Alexandra Vécsey)
If references are entirely missing, you can add them using this form.