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Game theoretic formalization of the concept of sustainable development in the hierarchical control systems

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  • Guennady Ougolnitsky

Abstract

The resolution of numerous ecological problems on different levels must be implemented on the base of sustainable development concept that determines the conditions to the state of ecological-economic systems and impacting control actions. Those conditions can’t be realized by themselves and require special collaborative efforts of different agents using both cooperation and hierarchical control. To formalize the inevitable trade-offs it is natural to use game theoretic models. Unfortunately, the main optimality principles of hierarchical control (compulsion, impulsion) are not time consistent and therefore can’t be recommended as the direct base for collective solutions. The most prospective is the conviction method which is formalized as a transition from hierarchy to cooperation and allows a regularization that provides the time consistency. However, in current social conditions other methods of hierarchical control also keep their actuality. To ensure the time consistency of those optimality principles it is necessary to build cooperative differential games on their base. An example of the approach is considered in this paper. Copyright Springer Science+Business Media, LLC 2014

Suggested Citation

  • Guennady Ougolnitsky, 2014. "Game theoretic formalization of the concept of sustainable development in the hierarchical control systems," Annals of Operations Research, Springer, vol. 220(1), pages 69-86, September.
  • Handle: RePEc:spr:annopr:v:220:y:2014:i:1:p:69-86:10.1007/s10479-012-1090-9
    DOI: 10.1007/s10479-012-1090-9
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    Cited by:

    1. Salem Nechi & Belaid Aouni & Zouhair Mrabet, 2020. "Managing sustainable development through goal programming model and satisfaction functions," Annals of Operations Research, Springer, vol. 293(2), pages 747-766, October.
    2. Sedakov, Artem & Qiao, Han & Wang, Shouyang, 2021. "A model of river pollution as a dynamic game with network externalities," European Journal of Operational Research, Elsevier, vol. 290(3), pages 1136-1153.
    3. Olga Gorbaneva & Guennady Ougolnitsky, 2022. "Sustainability of Intertwined Supply Networks: A Game-Theoretic Approach," Games, MDPI, vol. 13(3), pages 1-21, April.
    4. Kirill Kozlov & Guennady Ougolnitsky, 2022. "A Game Theoretic Model of Struggle with Corruption in Auctions: Computer Simulation," Mathematics, MDPI, vol. 10(19), pages 1-11, October.
    5. Gennady Ougolnitsky & Olga Gorbaneva, 2022. "Sustainable Management in Active Networks," Mathematics, MDPI, vol. 10(16), pages 1-22, August.

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