Decentralization, Hierarchies And Incentives: A Mechanism Design Decentralization, Hierarchies And Incentives: A Mechanism Design

Decentralization, Hierarchies And Incentives: A Mechanism Design Perspective

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Source: Boston University

Date: January 2008

Type: White Paper

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Overview: The comparative performance of these specific decentralized and centralized resource allocation systems were sought to be compared, on the basis of the extent of communication and information processing they entail, and the incentives of individual agents they give rise to. The purpose of this paper is to throw light on the costs and benefits of decentralization from an incentive standpoint and compare performance of different patterns of decentralization.

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