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Significant digitalization of financial services in a short period of time has led to an urgent demand to have autonomous, transparent and real-time credit risk decision making systems. The traditional machine learning models are effective…

Artificial Intelligence · Computer Science 2026-01-06 Chandra Sekhar Kubam

We consider a moral hazard problem with multiple principals in a continuous-time model. The agent can only work exclusively for one principal at a given time, so faces an optimal switching problem. Using a randomized formulation, we manage…

Probability · Mathematics 2022-09-14 Kaitong Hu , Zhenjie Ren , Junjian Yang

This paper will examine a model with many agents, each of whom has a different belief about the dynamics of a risky asset. The agents are Bayesian and so learn about the asset over time. All agents are assumed to have a finite (but random)…

General Finance · Quantitative Finance 2009-07-29 A. A. Brown , L. C. G. Rogers

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

This paper presents the application of Tokenlab, an agent-based modeling framework designed to analyze price dynamics and speculative behavior within token-based economies. By decomposing complex token systems into discrete agent…

Multiagent Systems · Computer Science 2024-12-11 Mengjue Wang , Stylianos Kampakis

We propose to study electricity capacity remuneration mechanism design through a Principal-Agent approach. The Principal represents the aggregation of electricity consumers (or a representative entity), subject to the physical risk of…

General Economics · Economics 2020-09-02 Clémence Alasseur , Heythem Farhat , Marcelo Saguan

PRAM puts agent-based models on a sound probabilistic footing as a basis for integrating agent-based and probabilistic models. It extends the themes of probabilistic relational models and lifted inference to incorporate dynamical models and…

Artificial Intelligence · Computer Science 2019-02-18 Paul Cohen

We study the stable marriage problem in two-sided markets with randomly generated preferences. We consider agents on each side divided into a constant number of "soft tiers", which intuitively indicate the quality of the agent.…

Computer Science and Game Theory · Computer Science 2021-01-14 Itai Ashlagi , Mark Braverman , Amin Saberi , Clayton Thomas , Geng Zhao

Econometric inference allows an analyst to back out the values of agents in a mechanism from the rules of the mechanism and bids of the agents. This paper gives an algorithm to solve the problem of inferring the values of agents in a…

Computer Science and Game Theory · Computer Science 2020-03-31 Jason Hartline , Aleck Johnsen , Denis Nekipelov , Zihe Wang

Pertaining to Agent-based Computational Economics (ACE), this work presents two models for the rise and downfall of speculative bubbles through an exchange price fixing based on double auction mechanisms. The first model is based on a…

Computer Science and Game Theory · Computer Science 2016-08-16 Yann Semet , Sylvain Gelly , Marc Schoenauer , Michèle Sebag

This paper is devoted to a study of robust fundamental theorems of asset pricing in discrete time and finite horizon settings. Uncertainty is modelled by a (possibly uncountable) family of price processes on the same probability space. Our…

Mathematical Finance · Quantitative Finance 2024-04-04 Huy N. Chau

We provide a generic method to find full dynamical solutions to binary decision models with interactions. In these models, agents follow a stochastic evolution where they must choose between two possible choices by taking into account the…

Statistical Mechanics · Physics 2022-03-01 James Holehouse , José Moran

In revenue maximization of selling a digital product in a social network, the utility of an agent is often considered to have two parts: a private valuation, and linearly additive influences from other agents. We study the incomplete…

Computer Science and Game Theory · Computer Science 2011-09-27 Wei Chen , Pinyan Lu , Xiaorui Sun , Bo Tang , Yajun Wang , Zeyuan Allen Zhu

We propose an agent-based opinion formation model characterised by a two-fold novelty. First, we realistically assume that each agent cannot measure the opinion of its neighbours with infinite resolution and accuracy, and hence it can only…

Social and Information Networks · Computer Science 2026-01-08 Carlos Andres Devia , Giulia Giordano

In this study, we developed a computational framework for simulating large-scale agent-based financial markets. Our platform supports trading multiple simultaneous assets and leverages distributed computing to scale the number and…

Trading and Market Microstructure · Quantitative Finance 2024-02-01 Aaron Wheeler , Jeffrey D. Varner

A complex system is made up of many components with many interactions. So the design of systems such as simulation systems, cooperative systems or assistance systems includes a very accurate modelling of interactional and communicational…

Multiagent Systems · Computer Science 2012-01-19 Alain-Jérôme Fougères

Transparency and explainability are important features that responsible autonomous vehicles should possess, particularly when interacting with humans, and causal reasoning offers a strong basis to provide these qualities. However, even if…

Artificial Intelligence · Computer Science 2025-11-18 Rhys Howard , Nick Hawes , Lars Kunze

Leading agent-based trust models address two important needs. First, they show how an agent may estimate the trustworthiness of another agent based on prior interactions. Second, they show how agents may share their knowledge in order to…

Multiagent Systems · Computer Science 2014-01-17 Yonghong Wang , Chung-Wei Hang , Munindar P. Singh

In this paper we introduce a new approach to model-free path-dependent option pricing. We first introduce a general duality result for linear optimisation problems over signed measures introduced in [3] and show how the the problem of…

Pricing of Securities · Quantitative Finance 2015-01-16 Raphael Hauser , Sergey Shahverdyan

Present bias, the tendency to overvalue immediate rewards while undervaluing future ones, is a well-known barrier to achieving long-term goals. As artificial intelligence and behavioral economics increasingly focus on this phenomenon, the…

Computer Science and Game Theory · Computer Science 2024-09-18 Yasunori Akagi , Hideaki Kim , Takeshi Kurashima