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Optimal stopping theory is a powerful tool for analyzing scenarios such as online auctions in which we generally require optimizing an objective function over the space of stopping rules for an allocation process under uncertainty. Perhaps…

Computer Science and Game Theory · Computer Science 2015-10-16 Hossein Esfandiari , MohammadTaghi Hajiaghayi , Vahid Liaghat , Morteza Monemizadeh

In the classical prophet inequality settings, a gambler is given a sequence of $n$ random variables $X_1, \dots, X_n$, taken from known distributions, observes their values in this (potentially adversarial) order, and select one of them,…

Computer Science and Game Theory · Computer Science 2024-04-19 Sariel Har-Peled , Elfarouk Harb , Vasilis Livanos

The study of the prophet inequality problem in the limited information regime was initiated by Azar et al. [SODA'14] in the pursuit of prior-independent posted-price mechanisms. As they show, $O(1)$-competitive policies are achievable using…

Computer Science and Game Theory · Computer Science 2021-11-24 Constantine Caramanis , Matthew Faw , Orestis Papadigenopoulos , Emmanouil Pountourakis

In the classical prophet inequality, a gambler faces a sequence of items, whose values are drawn independently from known distributions. Upon the arrival of each item, its value is realized and the gambler either accepts it and the game…

Data Structures and Algorithms · Computer Science 2022-04-05 Bo Peng , Zhihao Gavin Tang

In this paper, we introduce an over-time variant of the well-known prophet inequality with i.i.d. random variables. Instead of stopping with one realized value at some point in the process, we decide for each step how long we select the…

Data Structures and Algorithms · Computer Science 2025-09-08 Andreas Abels , Elias Pitschmann , Daniel Schmand

Consider a gambler who observes a sequence of independent, non-negative random numbers and is allowed to stop the sequence at any time, claiming a reward equal to the most recent observation. The famous prophet inequality of Krengel,…

Data Structures and Algorithms · Computer Science 2012-01-24 Robert Kleinberg , S. Matthew Weinberg

We introduce a variant of the classic prophet inequality, called \emph{residual prophet inequality} (RPI). In the RPI problem, we consider a finite sequence of $n$ nonnegative independent random values with known distributions, and a known…

Data Structures and Algorithms · Computer Science 2025-07-24 Jose Correa , Sebastian Perez-Salazar , Dana Pizarro , Bruno Ziliotto

Prophet inequalities are a central object of study in optimal stopping theory. In the iid model, a gambler sees values in an online fashion, sampled independently from a given distribution. Upon observing each value, the gambler either…

Data Structures and Algorithms · Computer Science 2025-06-23 Giordano Giambartolomei , Frederik Mallmann-Trenn , Raimundo Saona

Prophet inequalities for rewards maximization are fundamental to optimal stopping theory with extensive applications to mechanism design and online optimization. We study the \emph{cost minimization} counterpart of the classical prophet…

Computer Science and Game Theory · Computer Science 2023-02-24 Vasilis Livanos , Ruta Mehta

We study the prophet inequality, a fundamental problem in online decision-making and optimal stopping, in a practical setting where rewards are observed only through noisy realizations and reward distributions are unknown. At each stage,…

Machine Learning · Statistics 2026-04-03 Jung-hun Kim , Vianney Perchet

We study a pricing problem where a seller has $k$ identical copies of a product, buyers arrive sequentially, and the seller prices the items aiming to maximize social welfare. When $k=1$, this is the so called "prophet inequality" problem…

Computer Science and Game Theory · Computer Science 2023-06-21 Shuchi Chawla , Nikhil Devanur , Thodoris Lykouris

Prophet inequality concerns a basic optimal stopping problem and states that simple threshold stopping policies -- i.e., accepting the first reward larger than a certain threshold -- can achieve tight $\frac{1}{2}$-approximation to the…

Computer Science and Game Theory · Computer Science 2024-10-31 Wei Tang , Haifeng Xu , Ruimin Zhang , Derek Zhu

We consider prophet inequalities under downward-closed constraints. In this problem, a decision-maker makes immediate and irrevocable choices on arriving elements, subject to constraints. Traditionally, performance is compared to the…

Computer Science and Game Theory · Computer Science 2023-10-10 Tomer Ezra , Stefano Leonardi , Rebecca Reiffenhäuser , Matteo Russo , Alexandros Tsigonias-Dimitriadis

This paper considers a finite horizon optimal stopping problem for a sequence of independent and identically distributed random variables, where the objective is to design stopping rules that attempt to select the random variable with the…

Probability · Mathematics 2026-05-20 Alexander Goldenshluger , Yaakov Malinovsky , Assaf Zeevi

A prophet inequality states, for some $\alpha\in[0,1]$, that the expected value achievable by a gambler who sequentially observes random variables $X_1,\dots,X_n$ and selects one of them is at least an $\alpha$ fraction of the maximum value…

Data Structures and Algorithms · Computer Science 2020-11-24 José Correa , Paul Dütting , Felix Fischer , Kevin Schewior , Bruno Ziliotto

The I.I.D. Prophet Inequality is a fundamental problem where, given $n$ independent random variables $X_1,\dots,X_n$ drawn from a known distribution $\mathcal{D}$, one has to decide at every step $i$ whether to stop and accept $X_i$ or…

Computer Science and Game Theory · Computer Science 2024-12-02 Vasilis Livanos , Ruta Mehta

We study the classic single-choice prophet inequality problem through a resource augmentation lens. Our goal is to bound the $(1-\varepsilon)$-competition complexity of different types of online algorithms. This metric asks for the smallest…

Computer Science and Game Theory · Computer Science 2024-02-23 Johannes Brustle , José Correa , Paul Dütting , Tomer Ezra , Michal Feldman , Victor Verdugo

We introduce a new decomposition technique for random variables that maps a generic instance of the prophet inequalities problem to a new instance where all but a constant number of variables have a tractable structure that we refer to as…

Data Structures and Algorithms · Computer Science 2020-11-10 Allen Liu , Renato Paes Leme , Martin Pal , Jon Schneider , Balasubramanian Sivan

We take a unifying approach to single selection optimal stopping problems with random arrival order and independent sampling of items. In the problem we consider, a decision maker (DM) initially gets to sample each of $N$ items…

Computer Science and Game Theory · Computer Science 2021-08-11 José Correa , Andrés Cristi , Boris Epstein , José Soto

Prophet inequalities are a cornerstone in optimal stopping and online decision-making. Traditionally, they involve the sequential observation of $n$ non-negative independent random variables and face irrevocable accept-or-reject choices.…

Computer Science and Game Theory · Computer Science 2024-08-22 Sebastian Perez-Salazar , Victor Verdugo