Design of optimal double auction mechanism with multi-objectives

Research output: Journal Publications and Reviews (RGC: 21, 22, 62)21_Publication in refereed journal

4 Scopus Citations
View graph of relations

Author(s)

Detail(s)

Original languageEnglish
Pages (from-to)13749-13756
Journal / PublicationExpert Systems with Applications
Volume38
Issue number11
Publication statusPublished - Oct 2011

Abstract

This paper proposes a new approach to design optimal double auction mechanism with multi-objectives. In the optimal double auction mechanism, optimality is represented as multi-objectives to maximize the expected total revenue of sellers and buyers respectively at the same time. We give representation of allocation rules and payment rules of the optimal double auction mechanism that satisfies incentive compatibility, individual rationality, market clearing, and budget-balanced restrictions. Finally, we present a numerical example to demonstrate the function of the developed optimal double auction mechanism and its efficiency. © 2011 Elsevier Ltd. All rights reserved.

Research Area(s)

  • Auction mechanism design, Budget-balanced, Double auction, Incentive compatibility, Individual rationality, Multi-objectives