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European Journal of Operational Research
Volume 167, Issue 2, 1 December 2005, Pages 475-492
 
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doi:10.1016/j.ejor.2004.01.045    How to Cite or Link Using DOI (Opens New Window)
Copyright © 2004 Elsevier B.V. All rights reserved.

Decision Aiding

Playing for time: A sequential inspection game

Rudolf Avenhausa and Morton John CantyCorresponding Author Contact Information, E-mail The Corresponding Author, b

a Fakultät für Informatik, Universität der Bundeswehr München, Munich, Germany b Programmgruppe STE, Forschungszentrum Jülich GmbH, D-52425, Jülich, Germany

Received 15 May 2003; 
accepted 28 January 2004. 
Available online 18 May 2004.

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Abstract

Inspections for timely detection of illegal activity on a finite, closed time interval and subject to first and second kind errors are modelled as a sequential, two-person game. The utilities of the players, inspector and inspectee, are assumed to be linear in the detection time with time-independent false alarm costs. Sets of Nash equilibria are obtained in which the inspectee behaves illegally or legally with probability one.

Author Keywords: Game theory; Modelling; Optimization; Inspections

Article Outline

1. Introduction
2. One interim inspection
3. Two interim inspections
4. Any number of interim inspections
5. Discussion
Acknowledgements
References








 
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