FEEM working papers "Note di lavoro" series
2003 .051

Allocation Rules for Network Games


Authors: Matthew O. Jackson
Series: Climate Change and Sustainable Development
Editor: Carlo Carraro
Type: Journal
Keywords: Networks,Network Games,Allocation Rules,Cooperative Games
JEL n.: A14,C71,C72
JEL: Games and Economic Behavior

Abstract

Previous allocation rules for network games, such as the Myerson Value, implicitly or explicitly take the network structure as fixed. In many situations, however, the network structure can be altered by players. This means that the value of alternative network structures (not just sub-networks) can and should influence the allocation of value among players on any given network structure. I present a family of allocation rules that incorporate information about alternative network structures when allocating value.

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