How Should We Charge Users of a Communication Network When They Share Bandwidth?

Richard Steinberg
R.J.Steinberg@lse.ac.uk

Department of Management
Stanford University & London School of Economics


Wednesday, November 5, 2008
4:30 - 5:45 PM
Terman Engineering Center, Room 453


Abstract:

We discuss the issue of how we should charge users of a communication network when they share bandwidth. Specifically, we discuss a method recently proposed by Frank Kelly, Edward Anderson, and the speaker, called the "Contract and Balancing Mechanism," which can mediate between rapidly fluctuating prices and the longer time scales over which bandwidth contracts may be traded. An advantage of the process is that it avoids perverse incentives for a capacity provider to increase congestion. This talk will provide an update on the method, and will end with a discussion of some open research questions.






Operations Research Colloquia: http://or.stanford.edu/oras_seminars.html