Related papers: Kelly Bets and Single-Letter Codes: Optimal Inform…
Biological information processing manifests a huge variety in its complexity and capability among different organisms, which presumably stems from the evolutionary optimization under limited computational resources. Starting from the…
Financial markets, with their vast range of different investment opportunities, can be seen as a system of many different simultaneous games with diverse and often unknown levels of risk and reward. We introduce generalizations to the…
The Kelly or proportional allocation mechanism is a simple and efficient auction-based scheme that distributes an infinitely divisible resource proportionally to the agents bids. When agents are aware of the allocation rule, their…
Experimentalists have observed phenotypic variability in isogenic bacteria populations. We explore the hypothesis that in fluctuating environments this variability is tuned to maximize a bacterium's expected log growth rate, potentially…
Prior work has studied the computational complexity of computing optimal strategies to commit to in Stackelberg or leadership games, where a leader commits to a strategy which is observed by one or more followers. We extend this setting to…
The digital transformation of automation places new demands on data acquisition and processing in industrial processes. Logical relationships between acquired data and cyclic process sequences must be correctly interpreted and evaluated. To…
Private information retrieval protocols guarantee that a user can privately and losslessly retrieve a single file from a database stored across multiple servers. In this work, we propose to simultaneously relax the conditions of perfect…
Throughout the cognitive-science literature, there is widespread agreement that decision-making agents operating in the real world do so under limited information-processing capabilities and without access to unbounded cognitive or…
Self-synchronization under the presence of additive noise can be achieved by allocating a certain number of bits of each codeword as markers for synchronization. Difference systems of sets are combinatorial designs which specify the…
Kelly criterion, that maximizes the expectation value of the logarithm of wealth for bookmaker bets, gives an advantage over different class of strategies. We use projective symmetries for a explanation of this fact. Kelly's approach allows…
A portfolio of different stocks and a risk-less security whose composition is dynamically maintained stable by trading shares at any time step leads to a growth of the capital with a nonrandom rate. This is the key for the theory of…
In the online portfolio optimization framework, existing learning algorithms generate strategies that yield significantly poorer cumulative wealth compared to the best constant rebalancing portfolio in hindsight, despite being consistent in…
Information sharing between individuals is crucial to improve performance in collective tasks. However, in a competitive world, individuals may be reluctant to share information with the others, and it is still unclear how the presence of…
Upon infection of their bacterial hosts temperate phages must chose between lysogenic and lytic developmental strategies. Here we apply the game-theoretic bet-hedging strategy introduced by Kelly to derive the optimal lysogenic fraction of…
The problem of computing a linear combination of sources over a multiple access channel is studied. Inner and outer bounds on the optimal tradeoff between the communication rates are established when encoding is restricted to random…
Efficient coordination in multi-agent systems often incurs high communication overhead or slow convergence rates, making scalable welfare optimization difficult. We propose Single-Bit Coordination Dynamics for Pareto-Efficient Outcomes…
We investigate the problem of gambling with uncertainty in outcome probabilities. Stochastic optimization models are proposed for optimal investing on events with mutually exclusive outcomes when probabilities are estimated using…
Resource-constrained systems are prevalent in communications. Such a system is composed of many components but only some of them can be allocated with resources such as time slots. According to the amount of information about the system,…
All biological and artificial agents must learn and make decisions given limits on their ability to process information. As such, a general theory of adaptive behavior should be able to account for the complex interactions between an…
Encoding and decoding are the two key steps in information processing. In this work we study the encoding and decoding capabilities of operational theories in the context of information-storability game, where the task is to freely choose a…