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Related papers: Large Market Games with Near Optimal Efficiency

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This survey outlines a general and modular theory for proving approximation guarantees for equilibria of auctions in complex settings. This theory complements traditional economic techniques, which generally focus on exact and optimal…

Computer Science and Game Theory · Computer Science 2016-07-27 Tim Roughgarden , Vasilis Syrgkanis , Eva Tardos

We study the trade-off between the Price of Anarchy (PoA) and the Price of Stability (PoS) in mechanism design, in the prototypical problem of unrelated machine scheduling. We give bounds on the space of feasible mechanisms with respect to…

Computer Science and Game Theory · Computer Science 2021-02-25 Aris Filos-Ratsikas , Yiannis Giannakopoulos , Philip Lazos

This paper studies Markov perfect equilibria in a repeated duopoly model where sellers choose algorithms. An algorithm is a mapping from the competitor's price to own price. Once set, algorithms respond quickly. Customers arrive randomly…

Theoretical Economics · Economics 2022-07-04 Rohit Lamba , Sergey Zhuk

We study the most famous example of a large financial market: the Arbitrage Pricing Model, where investors can trade in a one-period setting with countably many assets admitting a factor structure. We consider the problem of maximising…

Portfolio Management · Quantitative Finance 2020-10-06 Laurence Carassus , Miklos Rasonyi

Equilibrium computation in markets usually considers settings where player valuation functions are known. We consider the setting where player valuations are unknown; using a PAC learning-theoretic framework, we analyze some classes of…

Computer Science and Game Theory · Computer Science 2021-09-10 Vignesh Viswanathan , Omer Lev , Neel Patel , Yair Zick

Linear Fisher market is one of the most fundamental economic models. The market is traditionally examined on the basis of individual's price-taking behavior. However, this assumption breaks in markets such as online advertising and…

Computer Science and Game Theory · Computer Science 2024-07-17 Juncheng Li , Pingzhong Tang

We consider the efficient outcome of a canonical economic market model involving buyers and sellers with independent and identically distributed random valuations and costs, respectively. When the number of buyers and sellers is large, we…

Probability · Mathematics 2017-03-02 Ellen V. Muir , Konstantin Borovkov

This work focuses on the design of taxes in atomic congestion games, a commonly studied model for competitive resource sharing. While most related studies focus on optimizing either the worst- or best-case performance (i.e., Price of…

Computer Science and Game Theory · Computer Science 2023-04-14 Rahul Chandan , Dario Paccagnan , Jason R. Marden

We study a large economy in which firms cannot compute exact solutions to the non-linear equations that characterize the equilibrium price at which they can sell future output. Instead, firms use polynomial expansions to approximate prices.…

Economics · Quantitative Finance 2016-11-08 Wolfgang Kuhle

Flows over time enable a mathematical modeling of traffic that changes as time progresses. In order to evaluate these dynamic flows from a game theoretical perspective we consider the price of anarchy (PoA). In this paper we study the…

Computer Science and Game Theory · Computer Science 2020-07-09 Jonas Israel , Leon Sering

Most of the economic reports forecast that almost half of the worldwide market value unlocked by AI over the next decade (up to 6 trillion USD per year) will be in marketing&sales. In particular, AI will enable the optimization of more and…

Computer Science and Game Theory · Computer Science 2022-01-31 Matteo Castiglioni , Diodato Ferraioli , Nicola Gatti , Alberto Marchesi , Giulia Romano

The Walras approach to equilibrium focuses on the existence of market prices at which the total demands for goods are matched by the total supplies. Trading activities that might identify such prices by bringing agents together as potential…

Optimization and Control · Mathematics 2023-05-30 J. Deride , A. Jofré , R. T. Rockafellar

We study social cost losses in Facility Location games, where $n$ selfish agents install facilities over a network and connect to them, so as to forward their local demand (expressed by a non-negative weight per agent). Agents using the…

Computer Science and Game Theory · Computer Science 2009-03-08 Thomas Dueholm Hansen , Orestis A. Telelis

A public decision-making problem consists of a set of issues, each with multiple possible alternatives, and a set of competing agents, each with a preferred alternative for each issue. We study adaptations of market economies to this…

Computer Science and Game Theory · Computer Science 2019-07-23 Nikhil Garg , Ashish Goel , Benjamin Plaut

There are several aspects of data markets that distinguish them from a typical commodity market: asymmetric information, the non-rivalrous nature of data, and informational externalities. Formally, this gives rise to a new class of games…

Computer Science and Game Theory · Computer Science 2023-03-29 Samir Wadhwa , Roy Dong

In lowest unique bid auctions, $N$ players bid for an item. The winner is whoever places the \emph{lowest} bid, provided that it is also unique. We use a grand canonical approach to derive an analytical expression for the equilibrium…

Computer Science and Game Theory · Computer Science 2015-05-28 Simone Pigolotti , Sebastian Bernhardsson , Jeppe Juul , Gorm Galster , Pierpaolo Vivo

The Generalized Second Price (GSP) auction is the primary auction used for monetizing the use of the Internet. It is well-known that truthtelling is not a dominant strategy in this auction and that inefficient equilibria can arise. In this…

Computer Science and Game Theory · Computer Science 2014-04-28 Ioannis Caragiannis , Christos Kaklamanis , Panagiotis Kanellopoulos , Maria Kyropoulou , Brendan Lucier , Renato Paes Leme , Éva Tardos

We consider the interaction among agents engaging in a driving task and we model it as general-sum game. This class of games exhibits a plurality of different equilibria posing the issue of equilibrium selection. While selecting the most…

Posted price mechanisms (PPM) constitute one of the predominant practices to price goods in online marketplaces and their revenue guarantees have been a central object of study in the last decade. We consider a basic setting where the…

Optimization and Control · Mathematics 2021-08-24 José Correa , Dana Pizarro , Victor Verdugo

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