How to distribute costs associated with a delayed project

How to distribute costs associated with a delayed project

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Article ID: iaor2003492
Country: Netherlands
Volume: 109
Issue: 1
Start Page Number: 159
End Page Number: 174
Publication Date: Jan 2002
Journal: Annals of Operations Research
Authors: ,
Keywords: cost analysis
Abstract:

In this paper we study how to distribute the cost caused by the delay of a project among the firms which are responsible for it. We present two rules, one based on serial cost sharing problems and the other, in game theory. Moreover, we introduce some desirable properties, inspired by well-known principles, and study which of them are satisfied by the rules.

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