Power allocation for two-way relay system based on sequential second price auction

In this paper, we consider a multiuser multi-antenna two-way relay system in which multiple pairs of partners communicate via a single relay node and share its total transmit power. In order to allocate the limited power with both efficiency and fairness, we introduce a sequential second price auction as a mechanism to achieve such goals. First, we provide the system model and formulate the channel capacity of each pair. Then, we construct an algorithm which leads to the equilibrium of a sequential second price auction with full information assumption and sophisticated bidding strategy. Finally, we provide the simulation results considering both randomness of user locations and time-varying nature of wireless channels, and this algorithm shows a good performance in total channel capacity, system efficiency, and fairness.