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General aggregation of demandand cost sharing methods

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  • Stef Tijs
  • Maurice Koster

Abstract

This paper extends the notion of cost sharing to models with general demand aggregation rules. In the process, aggregated serial cost sharing mechanisms are defined and characterized. A framework for a dynamic view on cost sharing is provided, introducing the notion of consistency to the generalized cost sharing model. Corresponding optimistic and pessimistic cooperative cost games are defined and their cores are studied. In particular, we show that the class of bankruptcy problems can be seen as a special class of cost sharing problems. It is seen that the serial mechanism in this specific case is closely related to the Constrained Equal Award rule. Copyright Kluwer Academic Publishers 1998

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  • Stef Tijs & Maurice Koster, 1998. "General aggregation of demandand cost sharing methods," Annals of Operations Research, Springer, vol. 84(0), pages 137-164, December.
    • Handle: RePEc:spr:annopr:v:84:y:1998:i:0:p:137-164:10.1023/a:1018932719034
    DOI: 10.1023/A:1018932719034
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    Cited by:

    1. Omkar D. Palsule-Desai, 2016. "Impact of equity and equality on stability and collusion in a decentralized network," Annals of Operations Research, Springer, vol. 238(1), pages 411-447, March.
    2. Omkar Palsule-Desai, 2016. "Impact of equity and equality on stability and collusion in a decentralized network," Annals of Operations Research, Springer, vol. 238(1), pages 411-447, March.
    3. Albizuri, M. Josune, 2010. "The [alpha]-serial cost-sharing rule," Mathematical Social Sciences, Elsevier, vol. 60(1), pages 24-29, July.

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