Axiomatizations of the proportional Shapley value

Besner, Manfred (2017): Axiomatizations of the proportional Shapley value.

Abstract

We provide new axiomatic characterizations of the proportional Shapley value, a weighted value with the worths of the singletons as weights. This value satisfies anonymity and therefore symmetry just as the Shapley value and has characterizations which are proportional counterparts to the famous characterizations of the Shapley value in Shapley (1953b), Myerson (1980) and Young (1985a). If the stand alone worths are plausible weights the proportional Shapley value is a convincing alternative to the Shapley value for example in cost allocation. We introduce two new axioms, called proportionality and player splitting respectively. Each of which gives a main difference between the proportional Shapley value and the Shapley value.

• Item Type: MPRA Paper
• Language: English
• Keywords: Cost allocation; Dividends; Proportional Shapley value; (Weighted) Shapley value; Proportionality; Player splitting
• Subjects: C - Mathematical and Quantitative Methods > C7 - Game Theory and Bargaining Theory; C - Mathematical and Quantitative Methods > C7 - Game Theory and Bargaining Theory > C71 - Cooperative Games

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