A mathematical analysis of the cumulus pricing scheme |
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Authors: | Y B |
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Affiliation: | IRISA/INRIA, Campus Universitaire de Beaulieu, 35042 Rennes Cedex, France |
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Abstract: | One important task in current and future communication networks is to define a suitable pricing scheme. It is then preferable to formulate a mathematical model, so that parameters will be optimized and important properties such as fairness or truthful anticipated load revelation (or incentive compatibility) will be verified. In this paper we study a simple and promising scheme called the cumulus pricing scheme, which can address service differentiation and scalability among other issues. Based on a mathematical model, we determine values for optimizing the provider’s revenue, which happens under the constraint that each user has an incentive to reveal its anticipated load. This has led to a small variation of the initial model from the literature as in the modelling, cumulus points are translated into financial terms, and measurements induce a cost as well. |
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Keywords: | Cumulus pricing scheme Network management Quality of service |
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