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Minimum coloring problem: the core and beyond

Author

Listed:
  • Eric Bahel

    (Department of Economics, Virginia Polytechnic Institute and State University)

  • Christian Trudeau

    (Department of Economics, University of Windsor)

Abstract

The minimum coloring game allows to model economic situations where costly and potentially conflicting tasks have to be executed. The primitives of the game are a graph (describing conflicts between the respective tasks) and a cost function (giving the cost of completing any number of pairwise conflicting tasks). This setting gives rise to a cooperative game where agents have to split the minimum cost of completing all tasks. Our study of the core allows to find a necessary and sufficient condition guaranteeing its non-vacuity; and we describe a subset of allocations that are always in the core (when it is nonempty). These allocations put weights on the largest incompatible groups, called maximum cliques. We then propose two cost sharing rules and their axiomatizations. The first rule assigns shares in proportion to the number of maximum cliques an agent belongs to; and the key property in its axiomatization prevents splitting and merging manipulations. The second rule is an extension of the well-known airport rule; and it requires every agent to pay a minimal fraction of the total cost.

Suggested Citation

  • Eric Bahel & Christian Trudeau, 2021. "Minimum coloring problem: the core and beyond," Working Papers 2005, University of Windsor, Department of Economics.
  • Handle: RePEc:wis:wpaper:2005
    as

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    File URL: http://web2.uwindsor.ca/economics/RePEc/wis/pdf/2005.pdf
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    References listed on IDEAS

    as
    1. Hervé Moulin, 1990. "Joint Ownership of a Convex Technology: Comparison of Three Solutions," The Review of Economic Studies, Review of Economic Studies Ltd, vol. 57(3), pages 439-452.
    2. Bahel, Eric & Trudeau, Christian, 2019. "Stability and fairness in the job scheduling problem," Games and Economic Behavior, Elsevier, vol. 117(C), pages 1-14.
    3. Thomas Bietenhader & Yoshio Okamoto, 2006. "Core Stability of Minimum Coloring Games," Mathematics of Operations Research, INFORMS, vol. 31(2), pages 418-431, May.
    4. Hougaard, Jens Leth & Moulin, Hervé, 2014. "Sharing the cost of redundant items," Games and Economic Behavior, Elsevier, vol. 87(C), pages 339-352.
    5. Maniquet, Francois, 1996. "Allocation Rules for a Commonly Owned Technology: The Average Cost Lower Bound," Journal of Economic Theory, Elsevier, vol. 69(2), pages 490-507, May.
    6. S. C. Littlechild & G. Owen, 1973. "A Simple Expression for the Shapley Value in a Special Case," Management Science, INFORMS, vol. 20(3), pages 370-372, November.
    Full references (including those not matched with items on IDEAS)

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    More about this item

    Keywords

    minimum coloring problem; cost sharing; merge-proofness; unanimity lower bound.;
    All these keywords.

    JEL classification:

    • C71 - Mathematical and Quantitative Methods - - Game Theory and Bargaining Theory - - - Cooperative Games
    • D63 - Microeconomics - - Welfare Economics - - - Equity, Justice, Inequality, and Other Normative Criteria and Measurement

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