The nucleolus and kernel of veto-rich transferable utility games |
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Authors: | Javier Arin Vincent Feltkamp |
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Affiliation: | 1. Faculty of Economics, Dept. Fundamentos Del Analisis Economico, Universidad de Alicante, 03071, Alicante, Spain 2. CentER and Econometrics Department, Tilburg University, P.O. Box 90153, 5000, LE Tilburg, The Netherlands
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Abstract: | ![]() The process of computing the nucleolus of arbitrary transferable utility games is notoriously hard. A number of papers have appeared in which the nucleolus is computed by an algorithm in which either one or a huge number of huge linear programs have to be solved. We show that on the class of veto-rich games, the nucleolus is the unique kernel element. Veto-rich games are games in which one of the players is needed by coalitions in order to obtain a non-zero payoff. We then provide a fast algorithm which does not use linear programming techniques to compute the nucleolus of these games. Furthermore, we provide a few examples of economic situations which belong to the class of veto-rich games and which are treated in the literature. |
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