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We study a repeated contracting setting in which a Principal adaptively chooses amongst $k$ Agents at each of $T$ rounds. The Agents are non-myopic, and so a mechanism for the Principal induces a $T$-round extensive form game amongst the…

Computer Science and Game Theory · Computer Science 2024-02-28 Natalie Collina , Varun Gupta , Aaron Roth

We are considering the problem of optimal portfolio delegation between an investor and a portfolio manager under a random default time. We focus on a novel variation of the Principal-Agent problem adapted to this framework. We address the…

Mathematical Finance · Quantitative Finance 2024-10-18 Alberto Gennaro , Thibaut Mastrolia

It is well-known that acting in an individually rational manner, according to the principles of classical game theory, may lead to sub-optimal solutions in a class of problems named social dilemmas. In contrast, humans generally do not have…

Computer Science and Game Theory · Computer Science 2014-01-16 Steven de Jong , Simon Uyttendaele , Karl Tuyls

We study the problem of demand response contracts in electricity markets by quantifying the impact of considering a mean-field of consumers, whose consumption is impacted by a common noise. We formulate the problem as a Principal-Agent…

Probability · Mathematics 2020-03-25 Romuald Elie , Emma Hubert , Thibaut Mastrolia , Dylan Possamaï

We examine hypothesis testing within a principal-agent framework, where a strategic agent, holding private beliefs about the effectiveness of a product, submits data to a principal who decides on approval. The principal employs a hypothesis…

Machine Learning · Computer Science 2025-08-06 Safwan Hossain , Yatong Chen , Yiling Chen

We analyze a model of selling a single object to a principal-agent pair who want to acquire the object for a firm. The principal and the agent have different assessments of the object's value to the firm. The agent is budget-constrained…

Theoretical Economics · Economics 2024-10-07 Debasis Mishra , Kolagani Paramahamsa

A large fraction of total healthcare expenditure occurs due to end-of-life (EOL) care, which means it is important to study the problem of more carefully incentivizing necessary versus unnecessary EOL care because this has the potential to…

Optimization and Control · Mathematics 2024-03-25 Muyan Jiang , Ying Chen , Xin Chen , Javad Lavaei , Anil Aswani

In this article, we employ an input-output approach to expand the study of cooperative multi-agent control and optimization problems characterized by mean-field interactions that admit decentralized and selfish solutions. The setting…

Optimization and Control · Mathematics 2025-10-02 Vivek Khatana , Duo Wang , Petros Voulgaris , Nicola Elia , Naira Hovakimyan

In recent times, various distributed optimization algorithms have been proposed for whose specific agent dynamics global optimality and convergence is proven. However, there exist no general conditions for the design of such algorithms. In…

Optimization and Control · Mathematics 2025-03-14 Pol Jane-Soneira , Charles Muller , Felix Strehle , Sören Hohmann

In a multi-agent system, an agent's optimal policy will typically depend on the policies chosen by others. Therefore, a key issue in multi-agent systems research is that of predicting the behaviours of others, and responding promptly to…

Multiagent Systems · Computer Science 2019-10-22 Dongge Han , Wendelin Boehmer , Michael Wooldridge , Alex Rogers

In applications such as participatory sensing and crowd sensing, self-interested agents exert costly effort towards achieving an objective for the system operator. We study such a setup where a principal incentivizes multiple agents of…

Signal Processing · Electrical Eng. & Systems 2022-05-11 Nayara Aguiar , Parv Venkitasubramaniam , Vijay Gupta

We study Bayesian automated mechanism design in unstructured dynamic environments, where a principal repeatedly interacts with an agent, and takes actions based on the strategic agent's report of the current state of the world. Both the…

Computer Science and Game Theory · Computer Science 2021-05-14 Hanrui Zhang , Vincent Conitzer

We present an algorithm for a multi-agent path planning problem with pattern coordination based on dynamic programming and a Hamilton-Jacobi-Bellman equation. This falls broadly into the class of partial differential equation (PDE) based…

Optimization and Control · Mathematics 2025-03-28 Christian Parkinson , Adan Baca

Despite the significant progress in multiagent teamwork, existing research does not address the optimality of its prescriptions nor the complexity of the teamwork problem. Without a characterization of the optimality-complexity tradeoffs,…

Artificial Intelligence · Computer Science 2011-06-24 D. V. Pynadath , M. Tambe

We consider the problem of finding Pareto-optimal allocations of risk among finitely many agents. The associated individual risk measures are law invariant, but with respect to agent-dependent and potentially heterogeneous reference…

Risk Management · Quantitative Finance 2022-05-05 Felix-Benedikt Liebrich

How to optimally persuade an agent who has a private type? When elicitation is feasible, this amounts to a fairly standard principal-agent-style mechanism design problem, where the persuader employs a mechanism to first elicit the agent's…

Computer Science and Game Theory · Computer Science 2024-11-01 Jiarui Gan , Abheek Ghosh , Nicholas Teh

We have used agent-based modeling as our numerical method to artificially simulate a dynamic real economy where agents are rational maximizers of an objective function of Cobb-Douglas type. The economy is characterised by heterogeneous…

Theoretical Economics · Economics 2024-01-17 Subhamon Supantha , Naresh Kumar Sharma

This paper presents a mathematical formulation to perform temporal parallelisation of continuous-time optimal control problems, which can be solved via the Hamilton--Jacobi--Bellman (HJB) equation. We divide the time interval of the control…

Optimization and Control · Mathematics 2024-12-18 Simo Särkkä , Ángel F. García-Fernández

A contract is an economic tool used by a principal to incentivize one or more agents to exert effort on her behalf, by defining payments based on observable performance measures. A key challenge addressed by contracts -- known in economics…

Computer Science and Game Theory · Computer Science 2024-12-24 Paul Duetting , Michal Feldman , Inbal Talgam-Cohen

A well-intentioned principal provides information to a rationally inattentive agent without internalizing the agent's cost of processing information. Whatever information the principal makes available, the agent may choose to ignore some.…

Theoretical Economics · Economics 2022-03-04 Elliot Lipnowski , Laurent Mathevet , Dong Wei