NDLI: Spectrum Trading in Cognitive Radio Networks: A Contract-Theoretic Modeling Approach

Content Provider	IEEE Xplore Digital Library
Author	Lin Gao Xinbing Wang Youyun Xu Qian Zhang
Copyright Year	1983
Abstract	Cognitive radio is a promising paradigm to achieve efficient utilization of spectrum resource by allowing the unlicensed users (i.e., secondary users, SUs) to access the licensed spectrum. Market-driven spectrum trading is an efficient way to achieve dynamic spectrum accessing/sharing. In this paper, we consider the problem of spectrum trading with single primary spectrum owner (or primary user, PO) selling his idle spectrum to multiple SUs. We model the trading process as a monopoly market, in which the PO acts as monopolist who sets the qualities and prices for the spectrum he sells, and the SUs act as consumers who choose the spectrum with appropriate quality and price for purchasing. We design a monopolist-dominated quality-price contract, which is offered by the PO and contains a set of quality-price combinations each intended for a consumer type. A contract is feasible if it is incentive compatible (IC) and individually rational (IR) for each SU to purchase the spectrum with the quality-price intended for his type. We propose the necessary and sufficient conditions for the contract to be feasible. We further derive the optimal contract, which is feasible and maximizes the utility of the PO, for both discrete-consumer-type model and continuous-consumer-type model. Moreover, we analyze the social surplus, i.e., the aggregate utility of both PO and SUs, and we find that, depending on the distribution of consumer types, the social surplus under the optimal contract may be less than or close to the maximum social surplus.
Starting Page	843
Ending Page	855
Page Count	13
File Size	1168583
File Format	PDF
ISSN	07338716
Volume Number	29
Issue Number	4
Language	English
Publisher	Institute of Electrical and Electronics Engineers, Inc. (IEEE)
Publisher Date	2011-04-01
Publisher Place	U.S.A.
Access Restriction	One Nation One Subscription (ONOS)
Rights Holder	Institute of Electrical and Electronics Engineers, Inc. (IEEE)
Subject Keyword	Contracts Cognitive radio Integrated circuits Biological system modeling Cost accounting Pricing Supply chains Quality Discrimination Cognitive Radio Spectrum Trading Contract Theory
Content Type	Text
Resource Type	Article
Subject	Computer Networks and Communications Electrical and Electronic Engineering

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