Power indices are mappings that quantify the influence of the members of a voting body on collective decisions a priori. Their nonlinearity and discontinuity makes it difficult to compute inverse images, i.e., to determine a voting system which induces a power distribution as close as possible...

In this paper we propose a new rule to allocate risk capital to portfolios or divisions within a firm. Specifically, we determine the capital allocation that minimizes the excesses of sets of portfolios in lexicographical sense. The excess of a set of portfolios is defined as the expected loss...

Supply chains today routinely use third parties for many strategic activities, such as manufacturing, R&D, or software development. These activities often include relationship-specific investment on the part of the vendor, while final outcomes can be uncertain. Therefore, writing complete...

This paper analyzes congestion effects on network situations from a cooperative game theoretic perspective. In network situations players have to connect themselves to a source. Since we consider publicly available networks any group of players is allowed to use the entire network to establish...

In this note we consider the cooperative linear quadratic control problem. That is, the problem where a number of players, all facing a (different) linear quadratic control problem, decide to cooperate in order to optimize their performance.It is well-known, in case the performance criteria are...

Cooperative (co-op) advertising is an important instrument for aligning manufacturer and retailer decisions in supply chains. In this, the manufacturer announces a co-op advertising policy, i.e., a participation rate that specifies the percentage of the retailer's advertising expenditure that it...

Unlike classic risk sharing problems based on expected utilities or convex risk measures, quantile-based risk sharing games exhibit two special features. First, quantile-based risk measures (such as the Value-at-Risk) are often not convex, and second, they ignore some part of the distribution of...

This work is based on a differential game proposed by Kelvin Lancaster. The game between two agents called workers and capitalists is based on the accumulation and redistribution of benefits among social classes concluding that cooperative outcomes outperform non-cooperative. This approach...

We consider the well-known one dimensional cutting stock problem (1CSP). Based on the pattern structure of the classical ILP formulation of Gilmore and Gomory, we can decompose the infinite set of 1CSP instances, with a fixed demand n, into a finite number of equivalence classes. We show up a...

Gale and Shapley (1962) proposed the deferred-acceptance algorithm for matching (i) college applicants and colleges and (ii) men and women. In the case of the latter, it produces either one or two stable matches whereby no man and woman would prefer to be matched with each other rather than with...