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The design of revenue-maximizing combinatorial auctions, i.e. multi-item auctions over bundles of goods, is one of the most fundamental problems in computational economics, unsolved even for two bidders and two items for sale. In the…

Machine Learning · Computer Science 2016-06-15 Maria-Florina Balcan , Tuomas Sandholm , Ellen Vitercik

We consider the problem of a revenue-maximizing seller with m items for sale to n additive bidders with hard budget constraints, assuming that the seller has some prior distribution over bidder values and budgets. The prior may be…

Computer Science and Game Theory · Computer Science 2016-05-09 Constantinos Daskalakis , Nikhil R. Devanur , S. Matthew Weinberg

Standard procurement models assume that the buyer knows the quality of the good at the time of procurement; however, in many settings, the quality is learned only long after the transaction. We study procurement problems in which the…

Theoretical Economics · Economics 2026-04-03 Kun Zhang

We study the communication complexity of truthful combinatorial auctions, and in particular the case where valuations are either subadditive or single-minded, which we denote with $\mathsf{SubAdd}\cup\mathsf{SingleM}$. We show that for…

Computer Science and Game Theory · Computer Science 2024-09-13 Shiri Ron , Clayton Thomas , S. Matthew Weinberg , Qianfan Zhang

Contemporary real-world online ad auctions differ from canonical models [Edelman et al., 2007; Varian, 2009] in at least four ways: (1) values and click-through rates can depend upon users' search queries, but advertisers can only partially…

Machine Learning · Computer Science 2024-04-11 Ming Chen , Sareh Nabi , Marciano Siniscalchi

In this paper, we develop a new method for finding an optimal biddingstrategy in sequential auctions, using a dynamic programming technique. Theexisting method assumes that the utility of a user is represented in anadditive form. Thus, the…

Computer Science and Game Theory · Computer Science 2013-01-14 Hiromitsu Hattori , Makoto Yokoo , Yuko Sakurai , Toramatsu Shintani

The existing literature on optimal auctions focuses on optimizing the expected revenue of the seller, and is appropriate for risk-neutral sellers. In this paper, we identify good mechanisms for risk-averse sellers. As is standard in the…

Computer Science and Game Theory · Computer Science 2010-04-02 Mukund Sundararajan , Qiqi Yan

Auction design for the modern advertising market has gained significant prominence in the field of game theory. With the recent rise of auto-bidding tools, an increasing number of advertisers in the market are utilizing these tools for…

Computer Science and Game Theory · Computer Science 2024-12-31 Changfeng Xu , Chao Peng , Chenyang Xu , Zhengfeng Yang

We study the problem of selling $n$ items to a single buyer with an additive valuation function. We consider the valuation of the items to be correlated, i.e., desirabilities of the buyer for the items are not drawn independently. Ideally,…

Computer Science and Game Theory · Computer Science 2015-07-23 MohammadHossein Bateni , Sina Dehghani , MohammadTaghi Hajiaghayi , Saeed Seddighin

This paper extends the incomplete model of Haile and Tamer (2003) from static English auctions to sequential English auctions. Because bidders may wait for future opportunities, the static condition that bidders do not let rivals win at…

Econometrics · Economics 2026-05-15 Dongwoo Kim , Kyoo il Kim , Pallavi Pal

To select a subset of samples or "winners" from a population of candidates, order sampling [Rosen 1997] and the k-unit Myerson auction [Myerson 1981] share a common scheme: assign a (random) score to each candidate, then select the k…

Computer Science and Game Theory · Computer Science 2018-11-29 Shaddin Dughmi , David Kempe , Ruixin Qiang

We consider the sample complexity of revenue maximization for multiple bidders in unrestricted multi-dimensional settings. Specifically, we study the standard model of $n$ additive bidders whose values for $m$ heterogeneous items are drawn…

Computer Science and Game Theory · Computer Science 2021-04-13 Yannai A. Gonczarowski , S. Matthew Weinberg

The optimal pricing problem is a fundamental problem that arises in combinatorial auctions. Suppose that there is one seller who has indivisible items and multiple buyers who want to purchase a combination of the items. The seller wants to…

Computer Science and Game Theory · Computer Science 2016-11-24 Takanori Maehara , Yasushi Kawase , Hanna Sumita , Katsuya Tono , Ken-ichi Kawarabayashi

We study an auction setting in which bidders bid for placement of their content within a summary generated by a large language model (LLM), e.g., an ad auction in which the display is a summary paragraph of multiple ads. This generalizes…

Computer Science and Game Theory · Computer Science 2024-04-15 Kumar Avinava Dubey , Zhe Feng , Rahul Kidambi , Aranyak Mehta , Di Wang

The difference set of an outcome in an auction is the set of types that the auction mechanism maps to the outcome. We give a complete characterization of the geometry of the difference sets that can appear for a dominant strategy incentive…

Computer Science and Game Theory · Computer Science 2022-11-04 Michael Joswig , Max Klimm , Sylvain Spitz

Federated learning makes it possible for all parties with data isolation to train the model collaboratively and efficiently while satisfying privacy protection. To obtain a high-quality model, an incentive mechanism is necessary to motivate…

Computer Science and Game Theory · Computer Science 2022-05-18 Jingwen Zhang , Yuezhou Wu , Rong Pan

We study the problem of computing optimal prices for a version of the Product-Mix auction with budget constraints. In contrast to the ``standard'' Product-Mix auction, the objective is to maximize revenue instead of social welfare. We prove…

Computer Science and Game Theory · Computer Science 2022-08-05 Maximilian Fichtl

We provide a computationally efficient black-box reduction from mechanism design to algorithm design in very general settings. Specifically, we give an approximation-preserving reduction from truthfully maximizing \emph{any} objective under…

Computer Science and Game Theory · Computer Science 2013-05-20 Yang Cai , Constantinos Daskalakis , S. Matthew Weinberg

We study the problem of repeatedly auctioning off an item to one of $k$ bidders where: a) bidders have a per-round individual rationality constraint, b) bidders may leave the mechanism at any point, and c) the bidders' valuations are…

Computer Science and Game Theory · Computer Science 2021-03-03 Mark Braverman , Jon Schneider , S. Matthew Weinberg

We develop a novel optimization model to maximize the profit of a Demand-Side Platform (DSP) while ensuring that the budget utilization preferences of the DSP's advertiser clients are adequately met. Our model is highly flexible and can be…

Optimization and Control · Mathematics 2018-05-31 Alfonso Lobos , Paul Grigas , Zheng Wen , Kuang-chih Lee