Distributive and Additive Cost Sharing of an Homogeneous Good
Title | Distributive and Additive Cost Sharing of an Homogeneous Good |
Publication Type | Journal Article |
Year of Publication | 1999 |
Authors | Moulin, H., & Shenker S. J. |
Published in | Games and Economic Behavior |
Volume | 27 |
Issue | 2 |
Page(s) | 299-330 |
Other Numbers | 3508 |
Abstract | Individual users demand different quantities of a homogeneous good produced under variable returns. We describe the family of costsharing methods that allocate costs in proportion to demands when returns are constant, and commute with the additivity and composition of cost functions. Two simple such methods are average cost pricing and incremental costsharing. All other methods in the family combine elements of the average cost and incremental ones. Serial costsharing stands out prominently in the family, whereas the ShapleyShubik method, and all values from the associated stand alone cooperative game, are excluded. |
Bibliographic Notes | Games and Economic Behavior, Vol. 27, No. 2, pp. 299-330 |
Abbreviated Authors | H. Moulin and S. Shenker |
ICSI Research Group | Networking and Security |
ICSI Publication Type | Article in journal or magazine |