Abstract
In the first part of the book, based on a transport perspective of the Internet, we have built an equilibrium framework to characterize the performance, i.e., delay, loss and sending rate, of traffic flows in a steady-state, which helps to fundamentally characterize the QoS of network applications. In the second part of the book, we will illustrate how such an equilibrium framework of the transport system can be used as a building block to study the higher-level strategic decisions and their impacts. In this chapter, we will start with a simplified model that is centered around the last-mile access providers (APs) and then develops two equilibrium solutions: the first one captures an abstract notation of congestion while the second one characterizes the throughput rate of traffic flows directly.
This is a preview of subscription content, log in via an institution to check access.
Access this chapter
Tax calculation will be finalised at checkout
Purchases are for personal use only
Notes
- 1.
We use \(\tau _i\) as a fixed throughput rate and \(\tau _i(\cdot )\) as a function.
- 2.
A similar price-taking assumption, i.e., any buyer’s purchasing or seller’s selling decisions cannot move the market price, is often made for competitive commodity markets to derive equilibrium of supply and demand.
References
C. Courcoubetis and R. Weber. Pricing Communication Networks: Economics, Technology amd Modelling. John Wiley & Sons Ltd., 2003.
R. T. B. Ma, D. Chiu, J. C. Lui, V. Misra, and D. Rubenstein. On cooperative settlement between content, transit and eyeball Internet service providers. IEEE/ACM Transactions on Networking, 19(3), 2011.
P. Gill, M. Arlitt, Z. Li, and A. Mahanti. The flattening Internet topology: natural evolution, unsightly barnacles or contrived collapse? In The 9th International Conference on Passive and Active Network Measurement, 2008.
J. Mo and J. Walrand. Fair end-to-end window-based congestion control. IEEE/ACM Transactions on Networking, 8(5), October 2000.
D. M. Chiu and R. Jain. Analysis of the increase and decrease algorithms for congestion avoidance in computer networks. Computer Networks and ISDN Systems, 17(1), June 1989.
F. Kelly, A. Maulloo, and D. Tan. Rate control in communication networks: shadow prices, proportional fairness and stability. In Journal of the Operational Research Society, volume 49, 1998.
Author information
Authors and Affiliations
Corresponding author
Rights and permissions
Copyright information
© 2022 The Author(s), under exclusive license to Springer Nature Switzerland AG
About this chapter
Cite this chapter
Ma, R.T.B. (2022). Model and Equilibrium. In: Internet Transport Economics. Synthesis Lectures on Learning, Networks, and Algorithms. Springer, Cham. https://doi.org/10.1007/978-3-031-14421-9_5
Download citation
DOI: https://doi.org/10.1007/978-3-031-14421-9_5
Published:
Publisher Name: Springer, Cham
Print ISBN: 978-3-031-14420-2
Online ISBN: 978-3-031-14421-9
eBook Packages: Synthesis Collection of Technology (R0)eBColl Synthesis Collection 11