Policy and Decision Models: 10. The Core Policy and Decision Models

EPA2142. Master Engineering and Policy Analysis. The course is a survey of models for analyzing and supporting design and decision-making in multi-actor settings. This lecture adds several ways to analyze and interpret n-person cooperative games. The Core follows naturally from definitions of individual rationality and collective rationality. The Shapley Value follows naturally from a set of axioms about fairness. In addition to these solution concepts, a power index may help to quantify (relative) power in, for example, voting situations. The Shapley-Shubik Power Index and the Banzhaf Index are explained and contrasted in this module.