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I introduce dynamic correlation as an incentive instrument to address moral hazard. A firm mediates interactions between a long-lived worker and short-lived clients. I show that optimal mediation induces a nonstationary correlated…

Theoretical Economics · Economics 2026-04-21 Allen Vong

This paper relaxes the common prior assumption in the public and private information game of Morris and Shin (2000, 2004). For the generalized game, where the agent's prior expectations are heterogenous, it derives a sharp condition for the…

Trading and Market Microstructure · Quantitative Finance 2013-12-31 Wolfgang Kuhle

Agents exert hidden effort to produce randomly-sized innovations in a technology they share. Flow payoffs grow as the technology develops, but so does the marginal cost of effort. I characterise the unique symmetric MPE with the quality of…

Theoretical Economics · Economics 2025-11-11 Gregorio Curello

We study a continuous time economy where throughout time, insiders receive private signals regarding the risky assets' terminal payoff. We prove existence of a partial communication equilibrium where, at each private signal time, the public…

Pricing of Securities · Quantitative Finance 2024-03-21 Scott Robertson

This paper introduces a notion of data informativity for stabilization tailored to continuous-time signals and systems. We establish results comparable to those known for discrete-time systems with sampled data. We justify that additional…

Optimization and Control · Mathematics 2024-06-14 Jaap Eising , Jorge Cortes

We study the problem of determining what data is required to solve a decision-making task when only partial information about the state of the world is available. Focusing on linear programs, we introduce a decision-focused notion of data…

Optimization and Control · Mathematics 2026-02-18 Omar Bennouna , Amine Bennouna , Saurabh Amin , Asuman Ozdaglar

Covering and packing problems can be modeled as games to encapsulate interesting social and engineering settings. These games have a high Price of Anarchy in their natural formulation. However, existing research applicable to specific…

Computer Science and Game Theory · Computer Science 2011-09-19 Maria-Florina Balcan , Sara Krehbiel , Georgios Piliouras , Jinwoo Shin

Identifying the trade-offs between model-based and model-free methods is a central question in reinforcement learning. Value-based methods offer substantial computational advantages and are sometimes just as statistically efficient as…

Machine Learning · Computer Science 2024-03-13 David Cheikhi , Daniel Russo

This paper studies the role of hard information in contractual and market settings in which the receiver can flexibly adjust allocations and transfers in response to the sender's disclosure. These settings include monopoly pricing,…

Theoretical Economics · Economics 2026-01-09 S. Nageeb Ali , Andreas Kleiner , Kun Zhang

The coordinated and efficient distribution of limited resources by individual decisions is a fundamental, unsolved problem. When individuals compete for road capacities, time, space, money, goods, etc., they normally make decisions based on…

Statistical Mechanics · Physics 2009-11-07 Dirk Helbing , Martin Schoenhof , Daniel Kern

Identifying the origin of nonequilibrium characteristics in a generic interacting system having multiple degrees of freedom is a challenging task. In this context, information theoretic measures such as mutual information and related…

Statistical Mechanics · Physics 2025-07-24 Biswajit Das , Sreekanth K Manikandan , Ayan Banerjee

In time-critical settings such as assistive driving, assistants often rely on alerts or haptic signals to prompt rapid human attention, but these cues usually leave humans to interpret situations and decide responses independently,…

Robotics · Computer Science 2025-09-10 Ya-Chuan Hsu , Jonathan DeCastro , Andrew Silva , Guy Rosman

A monopolist wants to sell one item per period to a consumer with evolving and persistent private information. The seller sets a price each period depending on the history so far, but cannot commit to future prices. We show that, regardless…

Theoretical Economics · Economics 2021-12-14 Martino Banchio , Frank Yang

The war of attrition with two-sided asymmetric information is a foundational model in political economy, yet it generically admits a continuum of perfect Bayesian equilibria. This paper characterizes the sources of equilibrium multiplicity.…

Theoretical Economics · Economics 2026-03-17 Martin Castillo-Quintana , Gianfranco Miranda-Romero

Communication is compositional if complex signals can be represented as a combination of simpler subparts. In this paper, we theoretically show that inductive biases on both the training framework and the data are needed to develop a…

Machine Learning · Computer Science 2024-04-04 Łukasz Kuciński , Tomasz Korbak , Paweł Kołodziej , Piotr Miłoś

The efficient exchange of information is an essential aspect of intelligent collective behavior. Event-triggered control and estimation achieve some efficiency by replacing continuous data exchange between agents with intermittent, or…

Systems and Control · Computer Science 2020-04-30 Friedrich Solowjow , Sebastian Trimpe

We construct a model of an exchange economy in which agents trade assets contingent on an observable signal, the probability of which depends on public opinion. The agents in our model are replaced occasionally and each person updates…

Theoretical Economics · Economics 2022-04-28 Jean-Philippe Bouchaud , Roger Farmer

Complex dynamical systems driven by the unravelling of information can be modelled effectively by treating the underlying flow of information as the model input. Complicated dynamical behaviour of the system is then derived as an output.…

Physics and Society · Physics 2019-11-05 Dorje C Brody

This paper is devoted to deterministic consensus in synchronous dynamic networks with unidirectional links, which are under the control of an omniscient message adversary. Motivated by unpredictable node/system initialization times and…

Distributed, Parallel, and Cluster Computing · Computer Science 2015-08-06 Manfred Schwarz , Kyrill Winkler , Ulrich Schmid

In this paper, we study stabilizability of discrete-time switched linear systems where the switching signal is considered as an arbitrary disturbance (and not a control variable). We characterize feedback stabilization via necessary and…

Optimization and Control · Mathematics 2025-06-05 Thiago Alves Lima , Matteo Della Rossa , Antoine Girard