Iterative VCG-based Mechanism Fosters Cooperation in Multi-Regional Network Design
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arXiv
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| Auteurs principaux: | , , , , |
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| Format: | Preprint |
| Publié: |
2025
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| _version_ | 1866914186875895808 |
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| author | He, Mingjia Werner, Yannik Censi, Andrea Frazzoli, Emilio Zardini, Gioele |
| author_facet | He, Mingjia Werner, Yannik Censi, Andrea Frazzoli, Emilio Zardini, Gioele |
| contents | Transportation network design often involves multiple stakeholders with diverse priorities. We consider a system with a hierarchical multi-agent structure, featuring self-optimized subnetwork operators at the lower level and a central organization at the upper level. Independent regional planning can lead to inefficiencies due to the lack of coordination, hindering interregional travel and cross-border infrastructure development, while centralized methods may struggle to align local interests and can be impractical to implement. To support decision making for such a system, we introduce an iterative VCG-based mechanism for multi-regional network design that fosters cooperation among subnetwork operators. By leveraging the Vickery-Clarke-Groves (VCG) mechanism, the framework determines collective investment decisions and the necessary payments from both operators and the central organization to achieve efficient outcomes. A case study on the European Railway System validates the effectiveness of the proposed method, demonstrating significant improvements in overall network performance through enhanced cross-region cooperation. |
| format | Preprint |
| id |
arxiv_https___arxiv_org_abs_2503_23255 |
| institution | arXiv |
| publishDate | 2025 |
| record_format | arxiv |
| spellingShingle | Iterative VCG-based Mechanism Fosters Cooperation in Multi-Regional Network Design He, Mingjia Werner, Yannik Censi, Andrea Frazzoli, Emilio Zardini, Gioele Systems and Control Transportation network design often involves multiple stakeholders with diverse priorities. We consider a system with a hierarchical multi-agent structure, featuring self-optimized subnetwork operators at the lower level and a central organization at the upper level. Independent regional planning can lead to inefficiencies due to the lack of coordination, hindering interregional travel and cross-border infrastructure development, while centralized methods may struggle to align local interests and can be impractical to implement. To support decision making for such a system, we introduce an iterative VCG-based mechanism for multi-regional network design that fosters cooperation among subnetwork operators. By leveraging the Vickery-Clarke-Groves (VCG) mechanism, the framework determines collective investment decisions and the necessary payments from both operators and the central organization to achieve efficient outcomes. A case study on the European Railway System validates the effectiveness of the proposed method, demonstrating significant improvements in overall network performance through enhanced cross-region cooperation. |
| title | Iterative VCG-based Mechanism Fosters Cooperation in Multi-Regional Network Design |
| topic | Systems and Control |
| url | https://arxiv.org/abs/2503.23255 |