Trading airport time slots: Market design with complex constraints

Due to the lasting growth in air traffic, many international airports have reached their capacity limits. Access major is granted through assignment of airport time slots. Current practices allocating these slots via grandfathering are widely regarded as inefficient by experts. New market mechanisms need take into account synergistic valuations airlines for departure and arrival slots, well financial constraints participating available. Unfortunately, computing core-stable outcomes such environments Σ2p-hard. Such problems typically considered intractable. We introduce bilevel integer optimization models slot trading compute outcomes, i.e. allocations prices that no coalition can beneficially deviate. Interestingly, despite computational hardness underlying problem numerical experiments show instances practically relevant size be solved due time. The proposed design provides a solution addresses specific markets, precondition adoption field.