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Mechanism design for two-opposite-facility location games with penalties on distance

  • Xujin Chen
  • , Xiaodong Hu
  • , Xiaohua Jia
  • , Minming Li
  • , Zhongzheng Tang*
  • , Chenhao Wang
  • *Corresponding author for this work
  • CAS - Academy of Mathematics and System Sciences
  • University of Chinese Academy of Sciences
  • City University of Hong Kong

Research output: Chapter in Book/Report/Conference proceedingConference contributionpeer-review

Abstract

This paper is devoted to the two-opposite-facility location games with a penalty whose amount depends on the distance between the two facilities to be opened by an authority. The two facilities are “opposite” in that one is popular and the other is obnoxious. Every selfish agent in the game wishes to stay close to the popular facility and stay away from the obnoxious one; its utility is measured by the difference between its distances to the obnoxious facility and the popular one. The authority determines the locations of the two facilities on a line segment where all agents are located. Each agent has its location information as private, and is required to report its location to the authority. Using the reported agent locations as input, an algorithmic mechanism run by the authority outputs the locations of the two facilities with an aim to maximize certain social welfare. The sum-type social welfare concerns with the penalized total utility of all agents, for which we design both randomized and deterministic group strategy-proof mechanisms with provable approximation ratios, and establish a lower bound on the approximation ratio of any deterministic strategy-proof mechanism. The bottleneck-type social welfare concerns with the penalized minimum utility among all agents, for which we propose a deterministic group strategy-proof mechanism that ensures optimality.

Original languageEnglish
Title of host publicationAlgorithmic Game Theory - 11th International Symposium, SAGT 2018, Proceedings
EditorsXiaotie Deng
PublisherSpringer Verlag
Pages256-260
Number of pages5
ISBN (Print)9783319996592
DOIs
StatePublished - 2018
Externally publishedYes
Event11th International Symposium on Algorithmic Game Theory, SAGT 2018 - Beijing, China
Duration: 11 Sep 201813 Sep 2018

Publication series

NameLecture Notes in Computer Science (including subseries Lecture Notes in Artificial Intelligence and Lecture Notes in Bioinformatics)
Volume11059 LNCS
ISSN (Print)0302-9743
ISSN (Electronic)1611-3349

Conference

Conference11th International Symposium on Algorithmic Game Theory, SAGT 2018
Country/TerritoryChina
CityBeijing
Period11/09/1813/09/18

Keywords

  • Facility location game
  • Strategy-proof mechanism design

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