On egalitarian values for cooperative games with a priori unions

Abstract

In this paper we extend the equal division and the equal surplus division values for transferable utility cooperative games to the more general setup of transferable utility cooperative games with a priori unions. In the case of the equal surplus division value we propose three possible extensions. We provide axiomatic characterizations of the new values. Furthermore, we apply the proposed modifications to a particular cost sharing problem and compare the numerical results with those obtained with the original values.