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Asymmetric Cost Sharing mechanisms

Eric J. Friedman

Games and Economic Behavior, 2012, vol. 75, issue 1, 139-151

Abstract: We describe the construction and analysis of asymmetric Cost Sharing mechanisms, in which a variety of axioms are applied to subsets of the agents/goods. We show that the analysis can be quite subtle as apparently similar axiomatizations lead to significantly different results; in particular, combinations of symmetric mechanisms can be extremely asymmetric and biased. In addition, we characterize some interesting mixed mechanisms.

Keywords: Cost allocation; Axioms; Path mechanisms; Incentives (search for similar items in EconPapers)
JEL-codes: C70 C71 D70 (search for similar items in EconPapers)
Date: 2012
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Persistent link: https://EconPapers.repec.org/RePEc:eee:gamebe:v:75:y:2012:i:1:p:139-151

DOI: 10.1016/j.geb.2011.09.009

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