Related papers: Bailout Stigma
We explore the influence maximisation problem in networks with negative ties. Where prior work has focused on unsigned networks, we investigate the need to consider negative ties in networks while trying to maximise spread in a population -…
This paper considers trial-offer markets where consumer preferences are modeled by a multinomial logit with social influence and position bias. The social signal for a product is given by its current market share raised to power r (or…
We study financial systems from a game-theoretic standpoint. A financial system is represented by a network, where nodes correspond to firms, and directed labeled edges correspond to debt contracts between them. The existence of cycles in…
Assessing the resilience of the economy requires accounting for its intrinsic multi-layer nature, by assessing for instance how disruptions at the firm level spread through the production network and propagate to the banking sector. Methods…
As we exhaust methods that reduces variance without introducing bias, reducing variance in experiments often requires accepting some bias, using methods like winsorization or surrogate metrics. While this bias-variance tradeoff can be…
An agent-based model for firms' dynamics is developed. The model consists of firm agents with identical characteristic parameters and a bank agent. Dynamics of those agents is described by their balance sheets. Each firm tries to maximize…
The scale and terms of aggregate borrowing in an economy depend on the manner in which wealth is distributed across potential creditors with heterogeneous beliefs about the future. This distribution evolves over time as uncertainty is…
A financial market comprising of a certain number of distinct companies is considered, and the following statement is proved: either a specific agent will surely beat the whole market unconditionally in the long run, or (and this "or" is…
Large-scale online service platforms face severe challenges from organized platform abuse: multiple forms such as credit card fraud and promotion abuse continually emerge, characterized by large numbers of involved accounts, rapid…
We introduce pricing formulas for competition and collusion models of two-sided markets with an outside option. For the competition model, we find conditions under which prices and consumer surplus may increase or decrease if the outside…
Positive feedback trading, which buys when prices rise and sells when prices fall, has long been criticized for being destabilizing as it moves prices away from the fundamentals. Motivated by the relationship between positive feedback…
Everyday decisions often involve many different levels. What connects these higher and lower level decisions hierarchy to one another determines how the cause(s) of failures are interpreted. It is hypothesized that decision confidence…
Recent studies on fairness in automated decision making systems have both investigated the potential future impact of these decisions on the population at large, and emphasized that imposing ''typical'' fairness constraints such as…
With negative growth in real production in many countries and debt levels which become an increasing burden on developed societies, the calls for a change in economic policy and even the monetary system become louder and increasingly…
If AI displaces human workers faster than the economy can reabsorb them, it risks eroding the very consumer demand firms depend on. We show that knowing this is not enough for firms to stop it. In a competitive task-based model, demand…
Liberalized electricity markets often include resource adequacy mechanisms that require consumers to contract with generation resources well in advance of real-time operations. While administratively defined mechanisms have most commonly…
Social identities are among the key factors driving behavior in complex societies. Signals of social identity are known to influence individual behaviors in the adoption of innovations. Yet the population-level consequences of identity…
Biases with respect to socially-salient attributes of individuals have been well documented in evaluation processes used in settings such as admissions and hiring. We view such an evaluation process as a transformation of a distribution of…
Reject inference comprises techniques to infer the possible repayment behavior of rejected cases. In this paper, we model credit in a brand new view by capturing the sequential pattern of interactions among multiple stages of loan business…
Bias can be introduced in diverse ways in machine learning datasets, for example via selection or label bias. Although these bias types in themselves have an influence on important aspects of fair machine learning, their different impact…