Volume 1563 of the series Lecture Notes in Computer Science pp 404-413


Worst-Case Equilibria

  • Elias KoutsoupiasAffiliated withUniv of California
  • , Christos PapadimitriouAffiliated withUniv of California

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In a system in which noncooperative agents share a common resource, we propose the ratio between the worst possible Nash equilibrium and the social optimum as a measure of the effectiveness of the system. Deriving upper and lower bounds for this ratio in a model in which several agents share a very simple network leads to some interesting mathematics, results, and open problems.