Appendix for : Opting out of Incentive Mechanisms : A Study of Security as a Non-Excludable Public Good
Appendix for : Opting out of Incentive Mechanisms : A Study of Security as a Non-Excludable Public Good
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附录:选择退出激励机制:安全作为非排他性公共物品的研究
DOI:
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发表时间:
2016
期刊:
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通讯作者:
M. Liu
中科院分区:
文献类型:
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作者:
Parinaz Naghizadeh Ardabili;M. Liu
We present two propositions to illustrate the main properties of the Pivotal mechanism, namely social optimality and voluntary participation. The proofs follows directly from the classical literature on VCG mechanisms and are included for completeness. Proposition 1: In the Pivotal mechanism with taxes given by (6), reporting the true type, i.e., the true utility function ui(·), is a dominant strategy for all users i. Therefore, the socially optimal solution is implemented. Proof: The total utility of user i when reporting ũi(·), while others report ũj(·), j 6= i, is given by: