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We study revenue maximization in multi-item auctions, where bidders have subadditive valuations over independent items. Providing a simple mechanism that is approximately revenue-optimal in this setting is a major open problem in mechanism…

Computer Science and Game Theory · Computer Science 2023-10-13 Yang Cai , Ziyun Chen , Jinzhao Wu

In a seminal paper, McAfee (1992) presented a truthful mechanism for double auctions, attaining asymptotically-optimal gain-from-trade without any prior information on the valuations of the traders. McAfee's mechanism handles…

Computer Science and Game Theory · Computer Science 2017-12-20 Erel Segal-Halevi , Avinatan Hassidim , Yonatan Aumann

In this paper, we develop a new method for finding an optimal biddingstrategy in sequential auctions, using a dynamic programming technique. Theexisting method assumes that the utility of a user is represented in anadditive form. Thus, the…

Computer Science and Game Theory · Computer Science 2013-01-14 Hiromitsu Hattori , Makoto Yokoo , Yuko Sakurai , Toramatsu Shintani

In display advertising, a small group of sellers and bidders face each other in up to 10 12 auctions a day. In this context, revenue maximisation via monopoly price learning is a high-value problem for sellers. By nature, these auctions are…

Machine Learning · Computer Science 2020-10-21 Lorenzo Croissant , Marc Abeille , Clément Calauzènes

We efficiently solve the optimal multi-dimensional mechanism design problem for independent bidders with arbitrary demand constraints when either the number of bidders is a constant or the number of items is a constant. In the first…

Computer Science and Game Theory · Computer Science 2011-12-20 Constantinos Daskalakis , S. Matthew Weinberg

Investigating potential purchases is often a substantial investment under uncertainty. Standard market designs, such as simultaneous or English auctions, compound this with uncertainty about the price a bidder will have to pay in order to…

Computer Science and Game Theory · Computer Science 2016-12-22 Robert Kleinberg , Bo Waggoner , E. Glen Weyl

We study the problem of learning revenue-optimal multi-bidder auctions from samples when the samples of bidders' valuations can be adversarially corrupted or drawn from distributions that are adversarially perturbed. First, we prove tight…

Computer Science and Game Theory · Computer Science 2021-07-14 Wenshuo Guo , Michael I. Jordan , Manolis Zampetakis

We study probabilistic single-item second-price auctions where the item is characterized by a set of attributes. The auctioneer knows the actual instantiation of all the attributes, but he may choose to reveal only a subset of these…

Computer Science and Game Theory · Computer Science 2013-02-22 Mingyu Guo , Argyrios Deligkas

Motivated by applications such as stock exchanges and spectrum auctions, there is a growing interest in mechanisms for arranging trade in two-sided markets. Existing mechanisms are either not truthful, or do not guarantee an…

Computer Science and Game Theory · Computer Science 2018-05-02 Erel Segal-Halevi , Avinatan Hassidim , Yonatan Aumann

We study an auction setting in which bidders bid for placement of their content within a summary generated by a large language model (LLM), e.g., an ad auction in which the display is a summary paragraph of multiple ads. This generalizes…

Computer Science and Game Theory · Computer Science 2024-04-15 Kumar Avinava Dubey , Zhe Feng , Rahul Kidambi , Aranyak Mehta , Di Wang

In online ad markets, a rising number of advertisers are employing bidding agencies to participate in ad auctions. These agencies are specialized in designing online algorithms and bidding on behalf of their clients. Typically, an agency…

Computer Science and Game Theory · Computer Science 2023-06-14 Yurong Chen , Qian Wang , Zhijian Duan , Haoran Sun , Zhaohua Chen , Xiang Yan , Xiaotie Deng

The auction theory literature has so far focused mostly on the design of mechanisms that takes the revenue or the efficiency as a yardstick. However, scenarios where the {\it capacity}, which we define as \textit{``the number of bidders the…

Computer Science and Game Theory · Computer Science 2007-11-13 Sudhir Kumar Singh , Vwani P. Roychowdhury

In this paper, we analyze a natural learning algorithm for uniform pacing of advertising budgets, equipped to adapt to varying ad sale platform conditions. On the demand side, advertisers face a fundamental technical challenge in automating…

Computer Science and Game Theory · Computer Science 2022-11-14 MohammadTaghi Hajiaghayi , Max Springer

We study sequential procurement auctions where the sellers are provided with a ``best and final offer'' (BAFO) strategy. This strategy allows each seller $i$ to effectively ``freeze'' their price while remaining active in the auction, and…

Computer Science and Game Theory · Computer Science 2025-03-17 Vasilis Gkatzelis , Randolph Preston McAfee , Renato Paes Leme

Simultaneous item auctions are simple procedures for allocating items to bidders with potentially complex preferences over different item sets. In a simultaneous auction, every bidder submits bids on all items simultaneously. The allocation…

Computer Science and Game Theory · Computer Science 2012-09-24 Michal Feldman , Hu Fu , Nick Gravin , Brendan Lucier

Designing an incentive compatible auction that maximizes expected revenue is a central problem in Auction Design. While theoretical approaches to the problem have hit some limits, a recent research direction initiated by Duetting et al.…

Computer Science and Game Theory · Computer Science 2021-10-26 Jad Rahme , Samy Jelassi , S. Matthew Weinberg

In this paper, we introduce a novel approach for reducing the $k$-item $n$-bidder auction with additive valuation to $k$-item $1$-bidder auctions. This approach, called the \emph{Best-Guess} reduction, can be applied to address several…

Computer Science and Game Theory · Computer Science 2014-06-24 Andrew Chi-Chih Yao

Motivated by sponsored search auctions, we study multi-unit auctions with budget constraints. In the mechanism we propose, Sort-Cut, understating budgets or values is weakly dominated. Since Sort-Cut's revenue is increasing in budgets and…

Computer Science and Game Theory · Computer Science 2011-03-03 I. Hafalir , R. Ravi , A. Sayedi

For selling a single item to agents with independent but non-identically distributed values, the revenue optimal auction is complex. With respect to it, Hartline and Roughgarden (2009) showed that the approximation factor of the…

Computer Science and Game Theory · Computer Science 2016-11-17 Saeed Alaei , Jason Hartline , Rad Niazadeh , Emmanouil Pountourakis , Yang Yuan

We study the design of truthful auctions for selling identical items in unlimited supply (e.g., digital goods) to n unit demand buyers. This classic problem stands out from profit-maximizing auction design literature as it requires no…

Computer Science and Game Theory · Computer Science 2014-01-07 Ning Chen , Nick Gravin , Pinyan Lu
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