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Game theory applied to transportation systems in Smart Cities: analysis of evolutionary stable strategies in a generic car pooling system

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Abstract

Game theory is a branch of mathematics that deals with the analysis of competitive situations in which the outcome of the participants critically depends on the actions of other participants. Popular fields of application include economics and finance, business, military, politics and biology, and more recently it has been applied to several aspects related to networks and Intelligent Transportation Systems. Transportation issues play a major role in big cities under the Smart City paradigm, being transportation systems challenged to be more efficient. One approach to attack this situation is the obvious improvement of infrastructure with the use of information and communication technologies (i.e., with the aid of advances in networks and electronics). However, the obvious constraints found under this line are the technological barriers that limit the efficiency of such transportation systems, especially in big cities that are not necessarily technologically developed. For this cases, there is another approach which take people into account in cooperative solutions such as car sharing programs in any of its forms (e.g. car sharing, ride sharing or car pooling). In this paper, we model and asses a generic car pooling system using game theory. We analyze how and when the Nash Equilibrium is achieved with both pure and mixed strategies. Furthermore, conditions for the program to have an evolutionary stable strategy are studied and conclusions are drawn from this analysis in terms of payoff variables such as profits, incentive expenses and operational costs, remarking the importance of formal approaches to support the decision-making process that industry practitioners, the government and/or citizens deal with in cooperative programs such as car pooling systems.

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Correspondence to Roberto Hernández.

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Hernández, R., Cárdenas, C. & Muñoz, D. Game theory applied to transportation systems in Smart Cities: analysis of evolutionary stable strategies in a generic car pooling system. Int J Interact Des Manuf 12, 179–185 (2018). https://doi.org/10.1007/s12008-017-0373-4

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  • DOI: https://doi.org/10.1007/s12008-017-0373-4

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