Related papers: Information, Utility & Bounded Rationality
Street-level bureaucrats, such as caseworkers and border guards routinely face the dilemma of whether to follow rigid policy or exercise discretion based on professional judgement. However, frequent overrides threaten consistency and…
Energy consumption is a main issue of concern in wireless networks. Energy minimization increases the time that networks' nodes work properly without recharging or substituting batteries. Another criterion for network performance is data…
The Landauer principle bridges the energetic cost and information processing, showing that irreversible computation inevitably demands energy dissipation. As energy demands from computation continue to rise, approximate computing has…
We consider a piecewise deterministic Markov decision process, where the expected exponential utility of total (nonnegative) cost is to be minimized. The cost rate, transition rate and post-jump distributions are under control. The state…
In this paper, we first consider a Bayesian framework and model the "utility function" in terms of fuzzy random variables. On the basis of this model, we define the "prior (fuzzy) expected utility" associated with each action, and the…
We introduce the resource-theoretic free energy of a quantum channel as the maximal work extractable from the channel as its output equilibrates to a thermal state and its reference system remains locally intact. It is proportional to the…
Selective rationalization improves neural network interpretability by identifying a small subset of input features -- the rationale -- that best explains or supports the prediction. A typical rationalization criterion, i.e. maximum mutual…
We study the Pareto frontier (optimal trade-off) between utility and separation, a fairness criterion requiring predictive independence from sensitive attributes conditional on the true outcome. Through an information-theoretic lens, we…
Work extractable from quantum system can be viewed as a resource to perform some tasks. Here, we try to related the work extractable to some resource theory. To do this, we consider completely passive states and passive states as free…
An agent choosing between various actions tends to take the one with the lowest cost. But this choice is arguably too rigid (not adaptive) to be useful in complex situations, e.g., where exploration-exploitation trade-off is relevant in…
The strategic selection of resources by selfish agents is a classic research direction, with Resource Selection Games and Congestion Games as prominent examples. In these games, agents select available resources and their utility then…
We consider a general class of dynamic resource allocation problems within a stochastic optimal control framework. This class of problems arises in a wide variety of applications, each of which intrinsically involves resources of different…
Resource theories play an important role in quantum information theory, as they identify resourceful states and channels that are potentially useful for the accomplishment of tasks that would be otherwise unreachable. The elementary…
Thermal channels -- the free processes allowed in the resource theory of quantum thermodynamics -- are generalised to thermal instruments, which we interpret as implementing thermodynamically free quantum measurements; a Maxwellian demon…
We study a multi-objective model on the allocation of reusable resources under model uncertainty. Heterogeneous customers arrive sequentially according to a latent stochastic process, request for certain amounts of resources, and occupy…
This paper considers the optimal portfolio selection problem in a dynamic multi-period stochastic framework with regime switching. The risk preferences are of exponential (CARA) type with an absolute coefficient of risk aversion which…
We propose information-directed sampling -- a new approach to online optimization problems in which a decision-maker must balance between exploration and exploitation while learning from partial feedback. Each action is sampled in a manner…
Point identification of causal effects requires strong assumptions that are unreasonable in many practical settings. However, informative bounds on these effects can often be derived under plausible assumptions. Even when these bounds are…
Towards the realization of a sustainable, fair and inclusive society, we proposed a novel decision-making model that incorporates social norms in a rational choice model from the standpoints of deontology and utilitarianism. We proposed a…
This paper extends the utility maximization literature by combining partial information and (robust) regulatory constraints. Partial information is characterized by the fact that the stock price itself is observable by the optimizing…