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Related papers: The Value of Information in Stopping Problems

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We consider a model of a data broker selling information to a single agent to maximize his revenue. The agent has a private valuation of the additional information, and upon receiving the signal from the data broker, the agent can conduct…

Theoretical Economics · Economics 2023-08-08 Yingkai Li

To determine the value of perfect information in an influence diagram, one needs first to modify the diagram to reflect the change in information availability, and then to compute the optimal expected values of both the original diagram and…

Artificial Intelligence · Computer Science 2013-03-08 Nevin Lianwen Zhang , Runping Qi , David L. Poole

In this chapter, we study the consistency of the value of information$\unicode{x2014}$a semantic metric that claims to determine the right piece of information in networked control systems tasks$\unicode{x2014}$in a lossy and delayed…

Information Theory · Computer Science 2024-03-19 Touraj Soleymani , John S. Baras , Siyi Wang , Sandra Hirche , Karl H. Johansson

Agents that learn to select optimal actions represent a prominent focus of the sequential decision-making literature. In the face of a complex environment or constraints on time and resources, however, aiming to synthesize such an optimal…

Machine Learning · Computer Science 2021-06-23 Dilip Arumugam , Benjamin Van Roy

We extend the classical setting of an optimal stopping problem under full information to include for problems with an unknown state. The framework allows the unknown state to influence (i) the drift of the underlying process, (ii) the…

Probability · Mathematics 2024-05-08 Erik Ekström , Yuqiong Wang

In the best choice problem with random arrivals, an unknown number $n$ of rankable items arrive at times sampled from the uniform distribution. As is well known, a real-time player can ensure stopping at the overall best item with…

Probability · Mathematics 2021-03-09 Alexander Gnedin

Consider a network design application where we wish to lay down a minimum-cost spanning tree in a given graph; however, we only have stochastic information about the edge costs. To learn the precise cost of any edge, we have to conduct a…

Data Structures and Algorithms · Computer Science 2017-11-02 Sahil Singla

We employ a natural method from the perspective of the optimal stopping theory to analyze entry-exit decisions with implementation delay of a project, and provide closed expressions for optimal entry decision times, optimal exit decision…

Optimization and Control · Mathematics 2015-12-01 Yong-Chao Zhang

Maximizing long-term rewards is the primary goal in sequential decision-making problems. The majority of existing methods assume that side information is freely available, enabling the learning agent to observe all features' states before…

Machine Learning · Computer Science 2023-07-19 Saeed Ghoorchian , Evgenii Kortukov , Setareh Maghsudi

In financial markets valuable information is rarely circulated homogeneously, because of time required for information to spread. However, advances in communication technology means that the 'lifetime' of important information is typically…

Pricing of Securities · Quantitative Finance 2011-08-05 Dorje C. Brody , Yan Tai Law

In a classical optimal stopping problem in continuous time, the agent can choose any stopping time without constraint. Dupuis and Wang (Optimal stopping with random intervention times, Advances in Applied Probability, 34, 141--157, 2002)…

Probability · Mathematics 2019-01-23 David Hobson , Matthew Zeng

When selling information products, the seller can provide some free partial information to change people's valuations so that the overall revenue can possibly be increased. We study the general problem of advertising information products by…

Computer Science and Game Theory · Computer Science 2021-09-24 Shuran Zheng , Yiling Chen

In social learning environments, agents acquire information from both private signals and the observed actions of predecessors, referred to as history. We define the value of history as the gain in expected payoff from accessing both the…

Theoretical Economics · Economics 2025-07-16 Hiroto Sato , Konan Shimizu

We study what changes to an agent's decision problem increase her value for information. We prove that information becomes more valuable if and only if the agent's reduced-form payoff in her belief becomes more convex. When the…

Theoretical Economics · Economics 2026-04-17 Mark Whitmeyer

We consider the problem of \emph{optimal matching with queues} in dynamic systems and investigate the value-of-information. In such systems, the operators match tasks and resources stored in queues, with the objective of maximizing the…

Optimization and Control · Mathematics 2015-03-30 Longbo Huang

Pricing financial or real options with arbitrary payoffs in regime-switching models is an important problem in finance. Mathematically, it is to solve, under certain standard assumptions, a general form of optimal stopping problems in…

Mathematical Finance · Quantitative Finance 2018-09-11 Masahiko Egami , Rusudan Kevkhishvili

The buying and selling of information is taking place at a scale unprecedented in the history of commerce, thanks to the formation of online marketplaces for user data. Data providing agencies sell user information to advertisers to allow…

Computer Science and Game Theory · Computer Science 2012-04-26 Moshe Babaioff , Robert Kleinberg , Renato Paes Leme

Prior studies have demonstrated that for many real-world problems, POMDPs can be solved through online algorithms both quickly and with near optimality. However, on an important set of problems where there is a large time delay between when…

Artificial Intelligence · Computer Science 2024-09-24 Gaurab Pokharel

In many practical sequential decision-making problems, tracking the state of the environment incurs a sensing/communication/computation cost. In these settings, the agent's interaction with its environment includes the additional component…

Machine Learning · Computer Science 2026-04-16 Vansh Kapoor , Jayakrishnan Nair

This paper studies a dynamic model of information acquisition, in which information might be secretly manipulated. A principal must choose between a safe action with known payoff and a risky action with uncertain payoff, favoring the safe…

Theoretical Economics · Economics 2023-04-14 Raphael Boleslavsky