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The hidden-action model captures a fundamental problem of principal-agent theory and provides an optimal sharing rule when only the outcome but not the effort can be observed. However, the hidden-action model builds on various explicit and…

General Economics · Economics 2020-04-15 Stephan Leitner , Friederike Wall

Active inference is a probabilistic framework for modelling the behaviour of biological and artificial agents, which derives from the principle of minimising free energy. In recent years, this framework has successfully been applied to a…

Artificial Intelligence · Computer Science 2022-07-13 Lancelot Da Costa , Noor Sajid , Thomas Parr , Karl Friston , Ryan Smith

Is it possible to evaluate the moral cognition of complex artificial agents? In this work, we take a look at one aspect of morality: `doing the right thing for the right reasons.' We propose a behavior-based analysis of artificial moral…

Artificial Intelligence · Computer Science 2023-05-30 Yiran Mao , Madeline G. Reinecke , Markus Kunesch , Edgar A. Duéñez-Guzmán , Ramona Comanescu , Julia Haas , Joel Z. Leibo

We propose an analytically tractable variation of the minority game in which rational agents use probabilistic strategies. In our model, $N$ agents choose between two alternatives repeatedly, and those who are in the minority get a pay-off…

Trading and Market Microstructure · Quantitative Finance 2014-02-11 V. Sasidevan , Deepak Dhar

Mixture policies theoretically offer greater flexibility than unimodal policies in continuous action reinforcement learning, but the practical benefits of this complexity remain elusive. Mixture policies are notably absent from most…

Machine Learning · Computer Science 2026-05-12 Jiamin He , Samuel Neumann , Jincheng Mei , Adam White , Martha White

The evolutionary balance between innate and learned behaviors is highly intricate, and different organisms have found different solutions to this problem. We hypothesize that the emergence and exact form of learning behaviors is naturally…

Neurons and Cognition · Quantitative Biology 2023-03-14 Emmanouil Giannakakis , Sina Khajehabdollahi , Anna Levina

Reinforcement learning is a machine learning approach based on behavioral psychology. It is focused on learning agents that can acquire knowledge and learn to carry out new tasks by interacting with the environment. However, a problem…

Artificial Intelligence · Computer Science 2022-12-15 Hugo Muñoz , Ernesto Portugal , Angel Ayala , Bruno Fernandes , Francisco Cruz

In reinforcement learning, an agent interacts sequentially with an environment to maximize a reward, receiving only partial, probabilistic feedback. This creates a fundamental exploration-exploitation trade-off: the agent must explore to…

Quantum Physics · Physics 2026-03-27 Josep Lumbreras , Ruo Cheng Huang , Yanglin Hu , Marco Fanizza , Mile Gu

Autonomous agents that act with each other on behalf of humans are becoming more common in many social domains, such as customer service, transportation, and health care. In such social situations greedy strategies can reduce the positive…

Multiagent Systems · Computer Science 2022-12-02 Jory Schossau , Bamshad Shirmohammadi , Arend Hintze

In this paper, we rigorously study the problem of cost optimisation of hybrid (mixed) institutional incentives, which are a plan of actions involving the use of reward and punishment by an external decision-maker, for maximising the level…

Populations and Evolution · Quantitative Biology 2023-10-09 M. H. Duong , C. M. Durbac , T. A. Han

When multiple informative equilibria are possible in a general cheap talk game, how much information can a principal guarantee herself? To answer this question, I define the notion of worst-case implementation-implementation via the worst…

Theoretical Economics · Economics 2026-02-17 Andrei Iakovlev

In recent years, deep reinforcement learning has been shown to be adept at solving sequential decision processes with high-dimensional state spaces such as in the Atari games. Many reinforcement learning problems, however, involve…

Machine Learning · Computer Science 2018-06-05 Yiming Zhang , Quan Ho Vuong , Kenny Song , Xiao-Yue Gong , Keith W. Ross

This work considers a repeated principal-agent bandit game, where the principal can only interact with her environment through the agent. The principal and the agent have misaligned objectives and the choice of action is only left to the…

Social dilemmas have been widely studied to explain how humans are able to cooperate in society. Considerable effort has been invested in designing artificial agents for social dilemmas that incorporate explicit agent motivations that are…

Multiagent Systems · Computer Science 2021-08-30 Nicolas Anastassacos , Stephen Hailes , Mirco Musolesi

We develop a model to study the role of rationality in economics and biology. The model's agents differ continuously in their ability to make rational choices. The agents' objective is to ensure their individual survival over time or,…

Physics and Society · Physics 2015-07-20 Wolfgang Kuhle

Active inference is a unifying theory for perception and action resting upon the idea that the brain maintains an internal model of the world by minimizing free energy. From a behavioral perspective, active inference agents can be seen as…

Machine Learning · Computer Science 2024-01-17 Pietro Mazzaglia , Tim Verbelen , Bart Dhoedt

Most methods for decision-theoretic online learning are based on the Hedge algorithm, which takes a parameter called the learning rate. In most previous analyses the learning rate was carefully tuned to obtain optimal worst-case…

Machine Learning · Statistics 2015-03-04 Tim van Erven , Peter Grünwald , Wouter M. Koolen , Steven de Rooij

An agent must try new behaviors to explore and improve. In high-stakes environments, an agent that violates safety constraints may cause harm and must be taken offline, curtailing any future interaction. Imitating old behavior is safe, but…

Artificial Intelligence · Computer Science 2026-04-17 Drew Prinster , Clara Fannjiang , Ji Won Park , Kyunghyun Cho , Anqi Liu , Suchi Saria , Samuel Stanton

This paper presents a method for incorporating risk aversion into existing decision tree models used in economic evaluations. The method involves applying a probability weighting function based on rank dependent utility theory to reduced…

Theoretical Economics · Economics 2024-01-24 Jacob Smith

Many real-world multiagent learning problems involve safety concerns. In these setups, typical safe reinforcement learning algorithms constrain agents' behavior, limiting exploration -- a crucial component for discovering effective…

Multiagent Systems · Computer Science 2025-08-27 Ayhan Alp Aydeniz , Enrico Marchesini , Robert Loftin , Christopher Amato , Kagan Tumer