A strategic implementation of the sequential equal surplus division rule for digraph cooperative games

Affiliation auteursAffiliation ok
TitreA strategic implementation of the sequential equal surplus division rule for digraph cooperative games
Type de publicationJournal Article
Year of Publication2017
AuteursBeal S, Remila E, Solal P
JournalANNALS OF OPERATIONS RESEARCH
Volume253
Pagination43-59
Date PublishedJUN
Type of ArticleArticle
ISSN0254-5330
Mots-clésBidding approach, Implementation, Rooted tree TU-games, Sequential equal surplus division, `Take-it-or-leave-it' procedure
Résumé

We provide a strategic implementation of the sequential equal surplus division rule (B,al et al. in Theory Decis 79:251-283, 2015). Precisely, we design a non-cooperative mechanism of which the unique subgame perfect equilibrium payoffs correspond to the sequential equal surplus division outcome of a superadditive rooted tree TU-game. This mechanism borrowed from the bidding mechanism designed by P,rez-Castrillo and Wettstein (J Econ Theory 100:274-294, 2001), but takes into account the direction of the edges connecting any two players in the rooted tree, which reflects some dominance relation between them. Our proofs rely on interesting properties that we provide for a general class of bidding mechanisms.

DOI10.1007/s10479-016-2290-5