Games with Graph Restricted Communication and Levels Structure of Cooperation
UB Economics Working Papers E17/363
28 Pages Posted: 24 Jul 2017
Date Written: July 12, 2017
We analyze surplus allocation problems where cooperation between agents is restricted both by a communication graph and by a sequence of embedded partitions of the agent set. For this type of problem, we define and characterize two new values extending the Shapley value and the Banzhaf value respectively. Our results enable the axiomatic comparison between the two values and provide some basic insights for the analysis of fair resource allocation in nowadays fully integrated societies.
Keywords: Coalitional games, Restricted cooperation, Graph restricted communication, Levels structure, Shapley value, Banzhaf value
JEL Classification: C7
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