A novel approach to incentive-based cooperation in wireless ad hoc networks

Cooperation is an integral part of wireless ad hoc networks. In this paper, we introduce a combination of pricing and reputation-based mechanisms targeted at generating higher incentive for cooperation among nodes. The reputation-based part of the mechanism guarantees proper cooperation among sources. In addition, the pricing-based mechanism is added to ensure cooperation of relay nodes. In contrast with earlier works, a more comprehensive definition of cooperation is presented which guarantees a better reward and punishment system. In our approach, a multi-player game is defined with continuous strategy set and payoffs which lead to a more practical model. Based on the proposed game theoretic framework, existence of Nash equilibrium is then investigated. Finally, simulation results evaluate performance of the proposed scheme.