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Consider a cost-sharing game with players of different contribution to the total cost: an example might be an insurance company calculating premiums for a population of mixed-risk individuals. Two natural and competing notions of fairness…

Computer Science and Game Theory · Computer Science 2021-12-02 Kate Donahue , Solon Barocas

The paper studies an oligopolistic equilibrium model of financial agents who aim to share their random endowments. The risk-sharing securities and their prices are endogenously determined as the outcome of a strategic game played among all…

General Finance · Quantitative Finance 2016-05-18 Michail Anthropelos

Scoring rules aggregate individual rankings by assigning some points to each position in each ranking such that the total sum of points provides the overall ranking of the alternatives. They are widely used in sports competitions consisting…

Other Statistics · Statistics 2023-03-28 László Csató

The pursuit of fairness in machine learning (ML), ensuring that the models do not exhibit biases toward protected demographic groups, typically results in a compromise scenario. This compromise can be explained by a Pareto frontier where…

Machine Learning · Computer Science 2024-11-11 Jinlong Pang , Jialu Wang , Zhaowei Zhu , Yuanshun Yao , Chen Qian , Yang Liu

We introduce a new paradigm for risk sharing that generalizes earlier models based on discrete agents and extends them to allow for sharing risk within a continuum of agents. Agents are represented by points of a measure space and have…

Risk Management · Quantitative Finance 2026-03-04 Vasily Melnikov

In multi-objective optimization, the set of optimal trade-offs -- the Pareto front -- often contains regions that are extremely steep or flat. The Pareto optimal points in these regions are typically of limited interest for decision-making,…

Optimization and Control · Mathematics 2026-02-26 Markus Herrmann-Wicklmayr , Kathrin Flaßkamp

We analyze the limiting behavior of the risk premium associated with the Pareto optimal risk sharing contract in an infinitely expanding pool of risks under a general class of law-invariant risk measures encompassing rank-dependent utility…

Risk Management · Quantitative Finance 2021-07-06 Thomas Knispel , Roger J. A. Laeven , Gregor Svindland

Rankings on online platforms help their end-users find the relevant information -- people, news, media, and products -- quickly. Fair ranking tasks, which ask to rank a set of items to maximize utility subject to satisfying group-fairness…

Computers and Society · Computer Science 2023-06-22 Sruthi Gorantla , Anay Mehrotra , Amit Deshpande , Anand Louis

We propose a peer-to-peer (P2P) insurance scheme comprising a risk-sharing pool and a reinsurer. A plan manager determines how risks are allocated among members and ceded to the reinsurer, while the reinsurer sets the reinsurance loading.…

Computer Science and Game Theory · Computer Science 2026-02-17 Tim J. Boonen , Kenneth Tsz Hin Ng , Tak Wa Ng , Thai Nguyen

Fragmentation of expensive resources, e.g., spectrum for wireless services, between providers can introduce inefficiencies in resource utilisation and worsen overall system performance. In such cases, resource pooling between independent…

Networking and Internet Architecture · Computer Science 2019-07-23 Anvitha Nandigam , Suraj Jog , D. Manjunath , Jayakrishnan Nair , B. J. Prabhu

In criminal justice risk forecasting, one can prove that it is impossible to optimize accuracy and fairness at the same time. One can also prove that it is impossible optimize at once all of the usual group definitions of fairness. In the…

Applications · Statistics 2019-10-28 Richard A. Berk , Ayya A. Elzarka

We investigate a market without money in which agents can offer certain goods (or multiple copies of an agent-specific good) in exchange for goods of other agents. The exchange must be balanced in the sense that each agent should receive a…

Discrete Mathematics · Computer Science 2021-04-02 Pavlos Eirinakis , Ioannis Mourtos , Michalis Samaris

Pareto-optimality plays a central role in evaluating the efficiency of solutions to allocation problems, such as house allocation, school choice, and kidney exchange. We introduce a general linear programming problem subject to…

Optimization and Control · Mathematics 2025-09-23 Bart van Rossum , Twan Dollevoet

We consider a variation on the classical finance problem of optimal portfolio design. In our setting, a large population of consumers is drawn from some distribution over risk tolerances, and each consumer must be assigned to a portfolio of…

In recent years, machine learning models have achieved great success at the expense of highly complex black-box structures. By using axiomatic attribution methods, we can fairly allocate the contributions of each feature, thus allowing us…

Computational Finance · Quantitative Finance 2025-06-10 Dangxing Chen

We study the problem of allocating indivisible goods among agents with additive valuation functions to achieve both fairness and efficiency under the constraint that each agent receives exactly the same number of goods (the \emph{balanced…

Computer Science and Game Theory · Computer Science 2026-03-09 Yasushi Kawase , Ryoga Mahara

Algorithmic fairness seeks to identify and correct sources of bias in machine learning algorithms. Confoundingly, ensuring fairness often comes at the cost of accuracy. We provide formal tools in this work for reconciling this fundamental…

Machine Learning · Computer Science 2021-11-22 Susan Wei , Marc Niethammer

Optimization problems have been the subject of statistical physics approximations. A specially relevant and general scenario is provided by optimization methods considering tradeoffs between cost and efficiency, where optimal solutions…

Statistical Mechanics · Physics 2015-09-16 Luís F. Seoane , Ricard V. Solé

This paper studies Pareto-optimal reinsurance design in a monopolistic market with multiple primary insurers and a single reinsurer, all with heterogeneous risk preferences. The risk preferences are characterized by a family of risk…

Risk Management · Quantitative Finance 2025-12-15 Tim J. Boonen , Xia Han , Peng Liu , Jiacong Wang

A long-standing goal of social network research has been to alter the properties of network to achieve the desired outcome. In doing so, DeGroot's consensus model has served as the popular choice for modeling the information diffusion and…

Information Theory · Computer Science 2025-01-07 Saber Jafarizadeh