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The analysis of markets with indivisible goods and fixed exogenous prices has played an important role in economic models, especially in relation to wage rigidity and unemployment. This research report provides a mathematical and…

General Finance · Quantitative Finance 2015-08-11 Stefano Nasini , Jordi Castro , Pau Fonseca i Casas

Many recent models of trade dynamics use the simple idea of wealth exchanges among economic agents in order to obtain a stable or equilibrium distribution of wealth among the agents. In particular, a plain analogy compares the wealth in a…

General Finance · Quantitative Finance 2015-05-30 J. R. Iglesias , R. M. C. de Almeida

We introduce a new framework to model interactions among agents which seek to trade to minimize their risk with respect to some future outcome. We quantify this risk using the concept of risk measures from finance, and introduce a class of…

Computer Science and Game Theory · Computer Science 2014-10-13 Rafael M. Frongillo , Mark D. Reid

The organization of interactions in complex systems can be described by networks connecting different units. These graphs are useful representations of the local and global complexity of the underlying systems. The origin of their…

Physics and Society · Physics 2015-09-30 Luís F Seoane , Ricard Solé

This paper studies reduced-order modeling of dynamic networks with strongly connected topology. Given a graph clustering of an original complex network, we construct a quotient graph with less number of vertices, where the edge weights are…

Optimization and Control · Mathematics 2020-03-10 Xiaodong Cheng , Lanlin Yu , Dingchao Ren , Jacquelien M. A. Scherpen

Over the past years, distributed energy resources (DER) have been the object of many studies, which recognise and establish their emerging role in the future of power systems. However, the implementation of many scenarios and mechanism are…

Systems and Control · Computer Science 2018-09-20 Jaysson Guerrero , Archie Chapman , Gregor Verbic

Competition is ubiquitous in many complex biological, social, and technological systems, playing an integral role in the evolutionary dynamics of the systems. It is often useful to determine the dominance hierarchy or the rankings of the…

Physics and Society · Physics 2019-01-09 Seungkyu Shin , Sebastian E. Ahnert , Juyong Park

Trades, introduced by Hedayat, are two sets of blocks of elements which may be exchanged (traded) without altering the counts of certain subcollections of elements within their constituent blocks. They are of importance in applications…

Combinatorics · Mathematics 2022-05-17 Chao Pan , Ryan Gabrys , Xujun Liu , Charles Colbourn , Olgica Milenkovic

Bargaining games on exchange networks have been studied by both economists and sociologists. A Balanced Outcome for such a game is an equilibrium concept that combines notions of stability and fairness. In a recent paper, Kleinberg and…

Computer Science and Game Theory · Computer Science 2009-07-27 Yossi Azar , Benjamin Birnbaum , L. Elisa Celis , Nikhil R. Devanur , Yuval Peres

We construct an utility-based dynamic asset pricing model for a limit order market. The price is nonlinear in volume and subject to market impact. We solve an optimal hedging problem under the market impact and derive the dynamics of the…

Pricing of Securities · Quantitative Finance 2014-10-31 Masaaki Fukasawa

Securities markets are quintessential complex adaptive systems in which heterogeneous agents compete in an attempt to maximize returns. Species of trading agents are also subject to evolutionary pressure as entire classes of strategies…

Neural and Evolutionary Computing · Computer Science 2019-12-23 David Rushing Dewhurst , Yi Li , Alexander Bogdan , Jasmine Geng

We investigate the tradeoffs between fairness and efficiency when allocating indivisible items over time. Suppose T items arrive over time and must be allocated upon arrival, immediately and irrevocably, to one of n agents. Agent i assigns…

Computer Science and Game Theory · Computer Science 2020-05-18 David Zeng , Alexandros Psomas

We consider a multi-class single server queueing network as a model of a packet switching network. The rates packets are sent into this network are controlled by queues which act as congestion windows. By considering a sequence of…

Optimization and Control · Mathematics 2010-11-25 Neil Stuart Walton

Trades based on bilateral (indivisible) contracts can be represented by a network. Vertices correspond to agents while arcs represent the non-price elements of a bilateral contract. Given prices for each arc, agents choose the incident arcs…

Theoretical Economics · Economics 2020-08-25 Can Kizilkale , Rakesh Vohra

We consider reallocation problems in settings where the initial endowment of each agent consists of a subset of the resources. The private information of the players is their value for every possible subset of the resources. The goal is to…

Computer Science and Game Theory · Computer Science 2014-04-29 Liad Blumrosen , Shahar Dobzinski

Matching algorithms have demonstrated great success in several practical applications, but they often require centralized coordination and plentiful information. In many modern online marketplaces, agents must independently seek out and…

Computer Science and Game Theory · Computer Science 2025-01-14 Vade Shah , Bryce L. Ferguson , Jason R. Marden

Although resource-limited networked autonomous systems must be able to efficiently and effectively accomplish tasks, better conservation of resources often results in worse task performance. We specifically address the problem of finding…

Systems and Control · Electrical Eng. & Systems 2022-10-05 Anne Theurkauf , Nisar Ahmed , Morteza Lahijanian

A resource exchange network is considered, where exchanges among nodes are based on reciprocity. Peers receive from the network an amount of resources commensurate with their contribution. We assume the network is fully connected, and…

Social and Information Networks · Computer Science 2018-12-27 Konstantinos P. Tsoukatos

Exchanges acquire excess processing capacity to accommodate trading activity surges associated with zero-sum high-frequency trader (HFT) "duels." The idle capacity's opportunity cost is an externality of low-latency trading. We build a…

Trading and Market Microstructure · Quantitative Finance 2019-07-26 Michael Brolley , Marius Zoican

We analyze a network formation game in a strategic setting where payoffs of individuals depend only on their immediate neighbourhood. We call these payoffs as localized payoffs. In this game, the payoff of each individual captures (1) the…

Social and Information Networks · Computer Science 2012-01-04 Rohith Dwarakanath Vallam , C. A. Subramanian , Ramasuri Narayanam , Y. Narahari , Srinath Narasimha