Related papers: Incentive Games and Mechanisms for Risk Management
All people have to make risky decisions in everyday life. And we do not know how true they are. But is it possible to mathematically assess the correctness of our choice? This article discusses the model of decision making under risk on the…
We focus on how individual behavior that complies with social norms interferes with performance-based incentive mechanisms in organizations with multiple distributed decision-making agents. We model social norms to emerge from interactions…
The article explores the emerging domain of incentive-aware machine learning (ML), which focuses on algorithmic decision-making in contexts where individuals can strategically modify their inputs to influence outcomes. It categorizes the…
An important challenge in non-cooperative game theory is coordinating on a single (approximate) equilibrium from many possibilities - a challenge that becomes even more complex when players hold private information. Recommender mechanisms…
Risks and potential benefits of distributing software development projects globally depend to a large extent on how to allocate work to different development sites and regions. Existing methods in task allocation are likely to omit the…
We introduce three concepts that describe an agent's incentives: response incentives indicate which variables in the environment, such as sensitive demographic information, affect the decision under the optimal policy. Instrumental control…
We propose a generic mechanism for incentivizing behavior in an arbitrary finite game using payments. Doing so is trivial if the mechanism is allowed to observe all actions taken in the game, as this allows it to simply punish those agents…
We consider the design of experiments to evaluate treatments that are administered by self-interested agents, each seeking to achieve the highest evaluation and win the experiment. For example, in an advertising experiment, a company wishes…
Energy game-theoretic frameworks have emerged to be a successful strategy to encourage energy efficient behavior in large scale by leveraging human-in-the-loop strategy. A number of such frameworks have been introduced over the years which…
Game designs often center on the game mechanics---rules governing the logical evolution of the game. We seek to develop an intelligent system that generates computer games. As first steps towards this goal we present a composable and…
Algorithms are often used to produce decision-making rules that classify or evaluate individuals. When these individuals have incentives to be classified a certain way, they may behave strategically to influence their outcomes. We develop a…
Overcoming the impact of selfish behavior of rational players in multiagent systems is a fundamental problem in game theory. Without any intervention from a central agent, strategic users take actions in order to maximize their personal…
Consequential decision-making incentivizes individuals to strategically adapt their behavior to the specifics of the decision rule. While a long line of work has viewed strategic adaptation as gaming and attempted to mitigate its effects,…
In a system of interdependent users, the security of an entity is affected not only by that user's investment in security measures, but also by the positive externality of the security decisions of (some of) the other users. The provision…
In recent years, various decentralized organizational forms have emerged, posing a challenge for organizational design. Some design elements, such as task allocation, become emergent properties that cannot be fully controlled from the top…
Modern control systems are featured by their hierarchical structure composing of cyber, physical, and human layers. The intricate dependencies among multiple layers and units of modern control systems require an integrated framework to…
In game theory, mechanism design is concerned with the design of incentives so that a desired outcome of the game can be achieved. In this paper, we study the design of incentives so that a desirable equilibrium is obtained, for instance,…
The application of incentives, such as reward and punishment, is a frequently applied way for promoting cooperation among interacting individuals in structured populations. However, how to properly use the incentives is still a challenging…
In game theory, mechanism design is concerned with the design of incentives so that a desired outcome of the game can be achieved. In this paper, we explore the concept of equilibrium design, where incentives are designed to obtain a…
The game-theoretic risk management framework put forth in the precursor reports "Towards a Theory of Games with Payoffs that are Probability-Distributions" (arXiv:1506.07368 [q-fin.EC]) and "Algorithms to Compute Nash-Equilibria in Games…