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The design of privacy mechanisms for two scenarios is studied where the private data is hidden or observable. In the first scenario, an agent observes useful data $Y$, which is correlated with private data $X$, and wants to disclose the…
Agent-based models help explain stock price dynamics as emergent phenomena driven by interacting investors. In this modeling tradition, investor behavior has typically been captured by two distinct mechanisms -- learning and heterogeneous…
On the one hand, the dissipated heat of a thermodynamic work extraction process upper bounds the non-predictive information, which the associated system encodes about its environment. Thus, emergent information processing capabilities can…
This paper proposes the Potluck Problem as a model for the behavior of independent producers and consumers under standard economic assumptions, as a problem of resource allocation in a multi-agent system in which there is no explicit…
Modelling the behaviours of other agents is essential for understanding how agents interact and making effective decisions. Existing methods for agent modelling commonly assume knowledge of the local observations and chosen actions of the…
Considering the interactions of two arbitrary particles, we obtain an internal energy expression of the complex system having long-range interactions. Based on the postulate of "equal-probability principle" for all microstates, the…
The problem of reinforcement learning is considered where the environment or the model undergoes a change. An algorithm is proposed that an agent can apply in such a problem to achieve the optimal long-time discounted reward. The algorithm…
We consider a dynamic moral hazard problem between a principal and an agent, where the sole instrument the principal has to incentivize the agent is the disclosure of information. The principal aims at maximizing the (discounted) number of…
Emergence is a phenomenon taken for granted in science but also still not well understood. We have developed a model of artificial genetic evolution intended to allow for emergence on genetic, population and social levels. We present the…
This paper considers the problem of shaping agent utility functions in a transactive energy system to ensure the optimal energy price at a competitive equilibrium is always socially acceptable, that is, below a prescribed threshold. Agents…
We study a Bayesian persuasion problem with externalities. In this model, a principal sends signals to inform multiple agents about the state of the world. Simultaneously, due to the existence of externalities in the agents' utilities, the…
Collective intelligence emerges across biological, physical, and artificial systems without central coordination, yet a unifying principle governing such behaviour remains elusive. The Free Energy Principle explains how individual agents…
It has been shown three different views in relativistic thermodynamics can be derived from the basic formulation proposed by van Kampen and Israel. The way to decompose energy-momentum into the reversible and irreversible parts is not…
Reinforcement learning (RL) systems can be complex and non-interpretable, making it challenging for non-AI experts to understand or intervene in their decisions. This is due in part to the sequential nature of RL in which actions are chosen…
Relations between integrals of time-ordered product of operators, and their representation in terms of energy-ordered products are studied. Both can be decomposed into irreducible factors and these relations are discussed as well. The…
Modern ecology has re-emphasized the need for a quantitative understanding of the original 'survival of the fittest theme' based on analyzis of the intricate trade-offs between competing evolutionary strategies that characterize the…
This paper discusses the benefits of describing the world as information, especially in the study of the evolution of life and cognition. Traditional studies encounter problems because it is difficult to describe life and cognition in terms…
The Conservation of Energy plays a pivotal part in the development of the physical sciences. With the growth of computation and the study of other discrete token based systems such as the genome, it is useful to ask if there are…
Many facts are learned through the intermediation of individuals with special access to information, such as law enforcement officers, officials with a security clearance, or experts with specific knowledge. This paper considers whether…
In goal-directed behavior, a large number of possible initial states end up in the pursued goal. The accompanying information loss implies that goal-oriented behavior is in one-to-one correspondence with an open subsystem whose entropy…