In this paper we consider a family of cost allocation rules for which agents pay a share of their incremental cost as well as of any ‘debt’ from prior agents. This family encompasses the Bird rule and the free riding rule (where terminal agents pay everything) as the two extreme cases. By...

For n-person bargaining problems the family of proportional solutions (introduced and characterized by Kalai in 1977) is generalized to bargaining problems with non-convex payo sets. The so-called "ecient proportional solutions" are characterized axiomatically using natural extensions of the...

In this paper we consider the Minimum Cost Spanning Tree model. We assume that a central planner aims at implementing the minimum cost spanning tree not knowing the true link costs. The central planner sets up a game where agents announce the link costs, a tree is chosen and costs are allocated...

In the present paper we consider the allocation of cost in connection networks. Agents have connection demands in form of pairs of locations they want to be connected. Connections between locations are costly to build. The problem is to allocate costs of networks satisfying all connection...

This paper explores a multi-criteria outranking methodology that is designed to both handle uncertain and imprecise data in describing alternatives as well as treating the decision maker's preference information in a sensible way that re flects the difficulties in articulating preferences. Based...

The purpose of this paper is to model the multi-criteria decision problem of identifying the most suitable facility locations for biogas plants under an integrated decision support methodology. Here the Geographical Information System (GIS) is used for measuring the attributes of the...

We analyze a two-attribute procurement auction that uses yardstick competition to settle prices. The submitted sealed bids are replaced by yardstick bids, computed by a linear weighting of the other participants’ bids. The auction simplifies the procurement process by reducing the...

Risk capital allocation problems have been widely discussed in the academic literature. We consider a company with multiple subunits having individual portfolios. Hence, when portfolios of subunits are merged, a diversification benefit arises: the risk of the company as a whole is smaller than...

The economic concept of Returns-to-Scale (RTS) has been intensively studied in the context of Data Envelopment Analysis (DEA). The conventional DEA models that are used for RTS classification require well-defined and accurate data whereas in reality data are often imprecise, vague, uncertain or...

League tables associated with various forms of service activities from schools to hospitals illustrate the public need for ranking institutions by their productive performance. We present a new method for ranking production units which is based on each units marginal contribution to the...