Article ID: | iaor2000958 |
Country: | United States |
Volume: | 44 |
Issue: | 12, Part 1 |
Publication Date: | Dec 1998 |
Journal: | Management Science |
Authors: | Labb Martine, Marcotte Patrice, Savard Giles |
Keywords: | decision: applications, networks: flow |
We consider a bilevel model where the leader wants to maximize revenues from a taxation scheme, while the follower rationally reacts to those tax levels. We focus our attention on the special case of a toll-setting problem defined on a multicommodity transportation network. We show that the general problem is NP-complete, while particular instances are polynomially solvable. Numerical examples are given.