English

A Taxation Policy for Maximizing Social Welfare in Networks: A General Framework

Optimization and Control 2018-04-17 v7 Computer Science and Game Theory

Abstract

We present a simple tatonnement process based on a decomposition method which is simple to implement and achieves the maximal social welfare, under the assumption that the utility function of each [price-taking] individual will be his own private information and need not be known by the designer. At each iteration, very little information needs to be exchanged among the individuals in order to achieve the optimal allocation. Furthermore, the given tatonnement process is always balanced at equilibrium and off equilibrium.

Keywords

Cite

@article{arxiv.1111.7013,
  title  = {A Taxation Policy for Maximizing Social Welfare in Networks: A General Framework},
  author = {Ali Kakhbod and Joseph Koo and Demosthenis Teneketzis},
  journal= {arXiv preprint arXiv:1111.7013},
  year   = {2018}
}