EconPapers    
Economics at your fingertips  
 

Network architecture and traffic flows: Experiments on the Pigou-Knight-Downs and Braess Paradoxes

John Morgan, Henrik Orzen () and Martin Sefton

Games and Economic Behavior, 2009, vol. 66, issue 1, 348-372

Abstract: This paper presents theory and experiments to investigate how network architecture influences route-choice behavior. We consider changes to networks that, theoretically, exhibit the Pigou-Knight-Downs and Braess Paradoxes. We show that these paradoxes are specific examples of more general classes of network change properties that we term the "least congestible route" and "size" principles, respectively. We find that technical improvements to networks induce adjustments in traffic flows. In the case of network changes based on the Pigou-Knight-Downs Paradox, these adjustments undermine short-term payoff improvements. In the case of network changes based on the Braess Paradox, these adjustments reinforce the counter-intuitive, but theoretically predicted, effect of reducing payoffs to network users. Although aggregate traffic flows are close to equilibrium levels, we see some systematic deviations from equilibrium. We show that the qualitative features of these discrepancies can be accounted for by a simple reinforcement learning model.

Date: 2009
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (17) Track citations by RSS feed

Downloads: (external link)
http://www.sciencedirect.com/science/article/pii/S0899-8256(08)00100-0
Full text for ScienceDirect subscribers only

Related works:
Working Paper: Network Architecture and Traffic Flows: Experiments on the Pigou-Knight-Downs and Braess Paradoxes (2007)
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:eee:gamebe:v:66:y:2009:i:1:p:348-372

Access Statistics for this article

Games and Economic Behavior is currently edited by E. Kalai

More articles in Games and Economic Behavior from Elsevier
Bibliographic data for series maintained by Catherine Liu ().

 
Page updated 2022-09-14
Handle: RePEc:eee:gamebe:v:66:y:2009:i:1:p:348-372