Cost Sharing Solutions Defined by Non-Negative Eigenvectors

  • Referencia: Peris, J. E, Silva, J. A y Begoña Subiza: “Cost Sharing Solutions Defined by Non-Negative Eigenvectors”. , European Journal of Operational Research, 244, 592-600 (2015).

Abstract: The problem of sharing a cost M among n individuals, identified by some characteristic ci in R+, appears in many real situations. Two important proposals on how to share the cost are the egalitarian and the proportional solutions. In different situations a combination of both distributions provides an interesting approach to the cost sharing problem. In this paper we obtain a family of (compromise) solutions associated to the Perron’s eigenvectors of Levinger’s transformations of a characteristics matrix A. This family includes both the egalitarian and proportional solutions, as well as a set of suitable intermediate proposals, which we analyze in some specific contexts, as claims problems and inventory cost games

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