Related papers: Cyber Insurance
We consider the classic principal-agent model of contract theory, in which a principal designs an outcome-dependent compensation scheme to incentivize an agent to take a costly and unobservable action. When all of the model…
This paper analyzes optimal insurance design when the insurer internalizes the effect of coverage on third-party service prices. A monopolistic insurer contracts with risk-averse agents who have sequential two-dimensional private…
Ransomware attacks have become a pervasive and costly form of cybercrime, causing tens of millions of dollars in losses as organizations increasingly pay ransoms to mitigate operational disruptions and financial risks. While prior research…
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…
We identify quantitative characteristics of responses to cyber compromises that can be learned from repeatable, systematic experiments. We model a vehicle equipped with an autonomous cyber-defense system and which also has some inherent…
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…
The ability to accurately predict cyber-attacks would enable organizations to mitigate their growing threat and avert the financial losses and disruptions they cause. But how predictable are cyber-attacks? Researchers have attempted to…
Based on classical contagion models we introduce an artificial cyber lab: the digital twin of a complex cyber system in which possible cyber resilience measures may be implemented and tested. Using the lab, in numerical case studies, we…
This paper proposes a game-theoretic method to address the problem of optimal detector placement in a networked control system under cyber-attacks. The networked control system is composed of interconnected agents where each agent is…
Every time the customer (individual or company) has to release personal information to its service provider (e.g., an online store or a cloud computing provider), it faces a trade-off between the benefits gained (enhanced or cheaper…
Cybersecurity planning supports the selection of and implementation of security controls in resource-constrained settings to manage risk. Doing so requires considering adaptive adversaries with different levels of strategic sophistication…
Adversaries are abusing Internet security and privacy services to execute cyber attacks. To cope with these threats, network operators utilize various security tools and techniques to monitor the cyber space. An efficient way to infer…
Cyber assurance, which is the ability to operate under the onslaught of cyber attacks and other unexpected events, is essential for organizations facing inundating security threats on a daily basis. Organizations usually employ multiple…
Today's cyber defense tools are mostly watchers. They are not active doers. To be sure, watching too is a demanding affair. These tools monitor the traffic and events; they detect malicious signatures, patterns and anomalies; they might…
Cyber-physical systems integrate computation, communication, and physical capabilities to interact with the physical world and humans. Besides failures of components, cyber-physical systems are prone to malignant attacks, and specific…
Along with the increasing frequency and severity of cyber incidents, understanding their economic implications is paramount. In this context, listed firms' reactions to cyber incidents are compelling to study since they (i) are a good proxy…
We investigate the mechanism design problem faced by a principal who hires \emph{multiple} agents to gather and report costly information. Then, the principal exploits the information to make an informed decision. We model this problem as a…
Cybersecurity decision-making increasingly occurs in environments characterized by uncertainty, partial observability, and adversarial manipulation, where heterogeneous signals from multiple sources are often incomplete, ambiguous, or…
Active cyber defense is one important defensive method for combating cyber attacks. Unlike traditional defensive methods such as firewall-based filtering and anti-malware tools, active cyber defense is based on spreading "white" or "benign"…
Ransomware impact different organizations for years, it causes huge monetary, reputation loss and operation impact. Other than typical data encryption by ransomware, attackers can request ransom from the victim organizations via data…