Related papers: Price Experimentation and Interference
Randomized experiments are increasingly employed in two-sided markets, such as buyer--seller platforms, to evaluate the effects of marketplace interventions. These experiments must reflect the underlying two-sided market structure in their…
We examine two types of binary betting markets, whose primary goal is for profit (such as sports gambling) or to gain information (such as prediction markets). We articulate the interplay between belief and price-setting to analyse both…
Machine learning models built on datasets containing discriminative instances attributed to various underlying factors result in biased and unfair outcomes. It's a well founded and intuitive fact that existing bias mitigation strategies…
A/B testing methodology is generally performed by private companies to increase user engagement and satisfaction about online features. Their usage is far from being transparent and may undermine user autonomy (e.g. polarizing individual…
A B testing serves as the gold standard for large scale, data driven decision making in online businesses. To mitigate metric variability and enhance testing sensitivity, control variates and regression adjustment have emerged as prominent…
It is increasingly common to augment randomized controlled trial with external controls from observational data, to evaluate the treatment effect of an intervention. Traditional approaches to treatment effect estimation involve ambiguous…
We analyze different types of simulations that applied researchers can use to assess whether their inference methods reliably control false-positive rates. We show that different assessments involve trade-offs, varying in the types of…
Consider a group of effort-averse, or lazy, sensors that seek to minimize the effort invested to collect measurements of a variable. Increasing the effort invested by the sensors improves the quality of the measurements provided to the…
A/B experiments are commonly used in research to compare the effects of changing one or more variables in two different experimental groups - a control group and a treatment group. While the benefits of using A/B experiments are widely…
Prices in financial markets exhibit extreme jumps far more often than can be accounted for by external news. Further, magnitudes of price changes are correlated over long times. These so called stylized facts are quantified by scaling laws…
Online controlled experiments are a crucial tool to allow for confident decision-making in technology companies. A North Star metric is defined (such as long-term revenue or user retention), and system variants that statistically…
We study the design and analysis of switchback experiments conducted on a single aggregate unit. The design problem is to partition the continuous time space into intervals and switch treatments between intervals, in order to minimize the…
Firms that price perishable resources -- airline seats, hotel rooms, seasonal inventory -- now routinely use demand predictions, but these predictions vary widely in quality. Under hard capacity constraints, acting on an inaccurate…
To choose between two discrete goods, a consumer pays attention to only those with prices below a threshold. From these, she chooses her most preferred good. We assume consumers in a population have the same preference but may have…
This study investigates the implications of algorithmic pricing in digital marketplaces, focusing on Airbnb's pricing dynamics. With the advent of Airbnb's new pricing tool, this research explores how digital tools influence hosts' pricing…
Price benchmarks are used to incorporate market price trends into contracts, but their use can create opportunities for manipulation by parties involved in the contract. This paper examines this issue using a realistic and tractable model…
Many biological, psychological and economic experiments have been designed where an organism or individual must choose between two options that have the same expected reward but differ in the variance of reward received. In this way,…
Pragmatic clinical trials evaluate the effectiveness of health interventions in real-world settings. Negative spillover can arise in a pragmatic trial if the study intervention affects how scarce resources are allocated between patients in…
From scientific experiments to online A/B testing, the previously observed data often affects how future experiments are performed, which in turn affects which data will be collected. Such adaptivity introduces complex correlations between…
Our research group wanted to take on the difficult task of predicting prices in a dynamic market. And short term rentals such as Airbnb listings seemed to be the perfect proving ground to do such a thing. Airbnb has revolutionized the…