Abstract: In this paper two cost sharing solutions for minimum cost spanning tree problems are introduced, the degree adjusted folk solution and the cost adjusted folk solution. These solutions overcome the problem of the classical reductionist folk solution as they have considerable strict ranking power, without breaking established axioms. As such they provide affirmative answers to open questions, put forward in Bogomolnaia and Moulin (2010) and Bogomolnaia et al. (2010).
|Place of Publication||Tilburg|
|Number of pages||14|
|Publication status||Published - 2013|
|Name||CentER Discussion Paper|
- cost sharing
- minimum cost spanning tree games