Congestion pricing using a raffle-based scheme

Patrick Loiseau, Galina Schwartz, John Musacchio, Saurabh Amin, S. Shankar Sastry

Research output: Chapter in Book/Report/Conference proceedingConference contributionpeer-review

Abstract

We propose a raffle-based scheme for the decongestion of a shared resource. Our scheme builds on ideas from the economic literature on incentivizing contributions to a public good. We formulate a game-theoretic model for the decongestion problem in a setup with a finite number of users, as well as in a setup with an infinite number of non-atomic users. We analyze both setups, and show that the former converges toward the latter when the number of users becomes large. We compare our results to existing results for the public good provision problem. Overall, our results establish that raffle-based schemes are useful in addressing congestion problems.

Original languageEnglish
Title of host publicationInternational Conference on NETwork Games, Control and Optimization, NetGCooP 2011
Publication statusPublished - 1 Dec 2011
Externally publishedYes
EventInternational Conference on NETwork Games, Control and Optimization, NetGCooP 2011 - Paris, France
Duration: 12 Oct 201114 Oct 2011

Publication series

NameInternational Conference on NETwork Games, Control and Optimization, NetGCooP 2011

Conference

ConferenceInternational Conference on NETwork Games, Control and Optimization, NetGCooP 2011
Country/TerritoryFrance
CityParis
Period12/10/1114/10/11

Keywords

  • congestion pricing
  • demand management
  • probabilistic pricing
  • public good
  • raffle-based incentive schemes

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