, Volume 50, Issue 1, pp 98–119 | Cite as

Cost-Sharing Mechanisms for Network Design

  • Anupam GuptaEmail author
  • Aravind Srinivasan
  • Éva Tardos


We consider a single-source network design problem from a game-theoretic perspective. Gupta, Kumar and Roughgarden (Proc. 35th Annual ACM STOC, pp. 365–372, 2003) developed a simple method for a single-source rent-or-buy problem that also yields the best-known approximation ratio for the problem. We show how to use a variant of this method to develop an approximately budget-balanced and group strategyproof cost-sharing method for the problem.

The novelty of our approach stems from our obtaining the cost-sharing methods for the rent-or-buy problem by carefully combining cost-shares for the simpler Steiner tree problem. Our algorithm is conceptually simpler than the previous such cost-sharing method due to Pál and Tardos (Proc. 44th Annual FOCS, pp. 584–593, 2003), and improves the previously-known approximation factor of 15 to 4.6.


Steiner Tree Network Design Problem Connection Cost Facility Location Game Network Design Game 
These keywords were added by machine and not by the authors. This process is experimental and the keywords may be updated as the learning algorithm improves.


Unable to display preview. Download preview PDF.

Unable to display preview. Download preview PDF.


  1. 1.
    Alon, N., Babai, L., Itai, A.: A fast and simple randomized parallel algorithm for the maximal independent set problem. J. Algorithms 7, 567–583 (1986) zbMATHCrossRefMathSciNetGoogle Scholar
  2. 2.
    Bellare, M., Rompel, J.: Randomness-efficient oblivious sampling. In: Proceedings of the IEEE Symposium on Foundations of Computer Science, pp. 276–287 (1994) Google Scholar
  3. 3.
    Even, G., Goldreich, O., Luby, M., Nisan, N., Boban, V.: Approximations of general independent distributions. In: Proceedings of the 24th Annual ACM Symposium on Theory of Computing, pp. 10–16 (1992) Google Scholar
  4. 4.
    Gupta, A., Kumar, A., Roughgarden, T.: Simpler and better approximation algorithms for network design. In: Proceedings of the 35th Annual ACM Symposium on Theory of Computing, pp. 365–372 (2003) Google Scholar
  5. 5.
    Kent, K.J., Skorin-Kapov, D.: Population monotonic cost allocations on MSTs. In: Proceedings of the 6th International Conference on Operational Research, Rovinj, pp. 43–48. Croatian Oper. Res. Soc., Zagreb (1996) Google Scholar
  6. 6.
    Luby, M.: A simple parallel algorithm for the maximal independent set problem. SIAM J. Comput. 15(4), 1036–1053 (1986) zbMATHCrossRefMathSciNetGoogle Scholar
  7. 7.
    Moulin, H., Shenker, S.: Strategyproof sharing of submodular costs: budget balance versus efficiency. Econ. Theory 18, 511–533 (2001) zbMATHCrossRefMathSciNetGoogle Scholar
  8. 8.
    Jain, K., Vazirani, V.: Applications of approximation algorithms to cooperative games. In: Proceedings of the 33rd Annual ACM Symposium on the Theory of Computing (STOC), pp. 364–372 (2001) Google Scholar
  9. 9.
    Leonardi, S., Schäfer, G.: Cross-monotonic cost-sharing methods for connected facility location games. Theor. Comput. Sci. 326(1–3), 431–442 (2004) zbMATHCrossRefGoogle Scholar
  10. 10.
    Mahdian, M., Ye, Y., Zhang, J.: Improved approximation algorithms for metric facility location problems. In: Approximation Algorithms for Combinatorial Optimization. Lecture Notes in Comput. Sci., vol. 2462, pp. 229–242. Springer, Berlin (2002) CrossRefGoogle Scholar
  11. 11.
    Pál, M., Tardos, É.: Group strategyproof mechanisms via primal-dual algorithms. In: Proceedings of the 44th Annual IEEE Symposium on Foundations of Computer Science, pp. 584–593 (2003) Google Scholar
  12. 12.
    Robins, G., Zelikovsky, A.: Improved Steiner tree approximation in graphs. In: Proceedings of the 11th Annual ACM-SIAM Symposium on Discrete Algorithms, pp. 770–779 (2000) Google Scholar
  13. 13.
    Schmidt, J.P., Siegel, A., Srinivasan, A.: Chernoff–Hoeffding bounds for applications with limited independence. SIAM J. Discrete Math. 8, 223–250 (1995) zbMATHCrossRefMathSciNetGoogle Scholar

Copyright information

© Springer Science+Business Media, LLC 2007

Authors and Affiliations

  1. 1.Department of Computer ScienceCarnegie Mellon UniversityPittsburghUSA
  2. 2.Department of Computer Science and University of Maryland Institute for Advanced Computer StudiesUniversity of Maryland at College ParkCollege ParkUSA
  3. 3.Department of Computer ScienceCornell UniversityIthacaUSA

Personalised recommendations