Value of games with two-layered hypergraphs

This paper studies cooperative games with restricted cooperation among players. We define situations in which a priori unions and hypergraphs coexist simultaneously and mutually depend on each other. We call such structures two-layered hypergraphs. Using a two-step approach, we define a value of the games with two-layered hypergraphs. The value is characterized by Owen’s coalitional value of hypergraph-restricted games and in terms of weighted Myerson value. Further, our value is axiomatically characterized by component efficiency and a coalition size normalized balanced contributions property.

► TU games with restricted cooperation among players are studied.
► A priori unions and hypergraphs coexist simultaneously and mutually dependent.
► A value of games is defined by using a two-step approach.
► The value is characterized by several values for games with restricted cooperation.
► The value is axiomatically characterized.