Related papers: Quadratic Payments with constrained probabilities
We consider the profit-maximization problem solved by an electricity retailer who aims at designing a menu of contracts. This is an extension of the unit-demand envy-free pricing problem: customers aim to choose a contract maximizing their…
In a model with no given probability measure, we consider asset pricing in the presence of frictions and other imperfections and characterize the property of coherent pricing, a notion related to (but much weaker than) the no arbitrage…
Markov decision processes are widely used for planning and verification in settings that combine controllable or adversarial choices with probabilistic behaviour. The standard analysis algorithm, value iteration, only provides a lower bound…
We investigate the structure of the currencies (systems of coins) for which the greedy change-making algorithm always finds an optimal solution (that is, a one with minimum number of coins). We present a series of necessary conditions that…
In this paper, we solve a maximization problem where the objective function is quadratic and the constraints set is the reachable values set of a stable discrete-time affine system. This problem is equivalent to solve an infinite number of…
The game in which acts of participants don't have an adequate description in terms of Boolean logic and classical theory of probabilities is considered. The model of the game interaction is constructed on the basis of a non-distributive…
Quadratic irrationals posses a periodic continued fraction expansion. Much less is known about cubic irrationals. We do not even know if the partial quotients are bounded, even though extensive computations suggest they might follow…
Quasi-probabilities appear across diverse areas of physics, but their conceptual foundations remain unclear: they are often treated merely as computational tools, and operations like conditioning and Bayes' theorem become ambiguous. We…
We provide an elementary proof that revenue-maximizing mechanisms exist in multi-parameter settings whenever the distribution of valuations has finite expectation.
In general it is not clear which kind of information is supposed to be used for calculating the fair value of a contingent claim. Even if the information is specified, it is not guaranteed that the fair value is uniquely determined by the…
Square roots of probabilities appear in several contexts, which suggests that they are somehow more fundamental than probabilities. Square roots of probabilities appear in expressions of the Fisher-Rao Metric and the Hellinger-Bhattacharyya…
Ratios of quadratic forms in correlated normal variables which introduce noncentrality into the quadratic forms are considered. The denominator is assumed to be positive (with probability 1). Various serial correlation estimates such as…
This paper studies the topic of cost-efficiency in incomplete markets. A payoff is called cost-efficient if it achieves a given probability distribution at some given investment horizon with a minimum initial budget. Extensive literature…
We extend the optimin notion of Ismail (2025) from mixed strategy profiles to correlated distributions. A correlated distribution is evaluated by the worst expected payoff each player can receive when opponents may either obey their private…
The use of hypothetical instead of real decision-making incentives remains under debate after decades of economic experiments. Standard incentivized experiments involve substantial monetary costs due to participants' earnings and often…
The aim of this article is to provide a systematic analysis of the conditions such that Fourier transform valuation formulas are valid in a general framework; i.e. when the option has an arbitrary payoff function and depends on the path of…
We study buyer-optimal procurement mechanisms when quality is contractible. When some costs are borne by every participant of a procurement auction regardless of winning, the classic analysis should be amended. We show that an optimal…
We characterise the probability distributions that arise from quantum circuits all of whose gates commute, and show when these distributions can be classically simulated efficiently. We consider also marginal distributions and the…
The notion of upper variance under multiple probabilities is defined by a corresponding minimax optimization problem. This paper proposes a simple algorithm to solve the related minimax optimization problem exactly. As an application, we…
We provide a brief overview of what is known about Quadratic Gravity, which includes terms quadratic in the curvatures in the fundamental action. This is proposed as a renormalizeable UV completion for quantum gravity which continues to use…