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We revisit the problem of designing the profit-maximizing single-item auction, solved by Myerson in his seminal paper for the case in which bidder valuations are independently distributed. We focus on general joint distributions, seeking…

Computer Science and Game Theory · Computer Science 2012-05-15 Christos Papadimitriou , George Pierrakos

We study the identification and estimation of first-price auction models where bidders have ambiguity about the valuation distribution and their preferences are represented by maxmin expected utility. When entry is exogenous, the…

Economics · Quantitative Finance 2015-04-13 Gaurab Aryal , Dong-Hyuk Kim

In this paper we define a new auction, called the Draw auction. It is based on the implementation of a draw when a minimum price of sale is not reached. We find that a Bayesian Nash equilibrium is reached in the Draw auction when each…

Computer Science and Game Theory · Computer Science 2024-03-14 Javier Castro , Rosa Espínola , Inmaculada Gutiérrez , Daniel Gómez

First-price auctions have recently gained significant traction in digital advertising markets, exemplified by Google's transition from second-price to first-price auctions. Unlike in second-price auctions, where bidding one's private…

Machine Learning · Computer Science 2025-10-07 Zihao Hu , Xiaoyu Fan , Yuan Yao , Jiheng Zhang , Zhengyuan Zhou

In a sequential auction with multiple bidding agents, it is highly challenging to determine the ordering of the items to sell in order to maximize the revenue due to the fact that the autonomy and private information of the agents heavily…

Artificial Intelligence · Computer Science 2018-10-16 Sicco Verwer , Yingqian Zhang , Qing Chuan Ye

Applications of combinatorial auctions (CA) as market mechanisms are prevalent in practice, yet their Bayesian Nash equilibria (BNE) remain poorly understood. Analytical solutions are known only for a few cases where the problem can be…

Computer Science and Game Theory · Computer Science 2021-02-09 Stefan Heidekrüger , Paul Sutterer , Nils Kohring , Maximilian Fichtl , Martin Bichler

We study the equilibria of uniform price auctions where many asymmetric bidders have flat demands up to their respective quantity constraints. We present an iterative procedure that systematically finds an equilibrium outcome as well as an…

Theoretical Economics · Economics 2026-04-09 Kiho Yoon

Sponsored search involves running an auction among advertisers who bid in order to have their ad shown next to search results for specific keywords. Currently, the most popular auction for sponsored search is the "Generalized Second Price"…

Computer Science and Game Theory · Computer Science 2008-05-07 Gagan Aggarwal , Jon Feldman , S. Muthukrishnan , Martin Pal

In online ad markets, a rising number of advertisers are employing bidding agencies to participate in ad auctions. These agencies are specialized in designing online algorithms and bidding on behalf of their clients. Typically, an agency…

Computer Science and Game Theory · Computer Science 2023-06-14 Yurong Chen , Qian Wang , Zhijian Duan , Haoran Sun , Zhaohua Chen , Xiang Yan , Xiaotie Deng

The all-pay auction, a classic competitive model, is widely applied in scenarios such as political elections, sports competitions, and research and development, where all participants pay their bids regardless of winning or losing. However,…

Theoretical Economics · Economics 2025-07-24 Yan Liu , Ying Qin , Zihe Wang

We study the complexity of finding an approximate (pure) Bayesian Nash equilibrium in a first-price auction with common priors when the tie-breaking rule is part of the input. We show that the problem is PPAD-complete even when the…

Computer Science and Game Theory · Computer Science 2023-03-30 Xi Chen , Binghui Peng

In this work we consider selling items using a sequential first price auction mechanism. We generalize the assumption of conservative bidding to extensive form games (henceforth optimistic conservative bidding), and show that for both…

Computer Science and Game Theory · Computer Science 2015-02-02 Avinatan Hassidim , Yishay Mansour

We study reserve price optimization in multi-phase second price auctions, where the seller's prior actions affect the bidders' later valuations through a Markov Decision Process (MDP). Compared to the bandit setting in existing works, the…

Machine Learning · Computer Science 2026-03-04 Rui Ai , Boxiang Lyu , Zhaoran Wang , Zhuoran Yang , Michael I. Jordan

We address the problem of improving bidders' strategies in prior-dependent revenue-maximizing auctions and introduce a simple and generic method to design novel bidding strategies if the seller uses past bids to optimize her mechanism. We…

Computer Science and Game Theory · Computer Science 2021-09-15 Thomas Nedelec , Marc Abeille , Clément Calauzènes , Benjamin Heymann , Vianney Perchet , Noureddine El Karoui

The goal of an auction is to determine commodity prices such that all participants are perfectly happy. Such a solution is called a competitive equilibrium and does not exist in general. For this reason we are interested in solutions which…

Optimization and Control · Mathematics 2013-09-04 Johannes C. Müller

Rapid advances in data collection and processing capabilities have allowed for the use of increasingly complex models that give rise to nonconvex optimization problems. These formulations, however, can be arbitrarily difficult to solve in…

Multiagent Systems · Computer Science 2020-04-01 Stefan Vlaski , Ali H. Sayed

In modern advertising platforms, learning algorithms are deployed by budget-constrained bidders to maximize their accumulated value. These algorithms often offer classical utility guarantees like no-regret, i.e., the agent's utility is at…

Computer Science and Game Theory · Computer Science 2026-02-23 Giannis Fikioris , Robert Kleinberg , Yoav Kolumbus , Yishay Mansour , Eva Tardos

We study $k$-price auctions in a complete information environment and characterize all pure-strategy Nash equilibrium outcomes. In a setting with $n$ agents having ordered valuations, we show that any agent, except those with the lowest…

Theoretical Economics · Economics 2025-07-09 Sumit Goel , Jeffrey Zeidel

We study the problem of designing a two-sided market (double auction) to maximize the gains from trade (social welfare) under the constraints of (dominant-strategy) incentive compatibility and budget-balance. Our goal is to do so for an…

Computer Science and Game Theory · Computer Science 2024-06-21 Moshe Babaioff , Amitai Frey , Noam Nisan

We consider an online ad network problem in which an ad exchange auctions ad slots and intermediaries called demand side platforms (DSPs) buy these ad slots for their clients (advertisers). An intermediary represents multiple advertisers.…

Computer Science and Game Theory · Computer Science 2019-10-07 Rahul Meshram , Kesav Kaza