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We present the first analysis of Fisher markets with buyers that have budget-additive utility functions. Budget-additive utilities are elementary concave functions with numerous applications in online adword markets and revenue optimization…

Computer Science and Game Theory · Computer Science 2016-05-03 Xiaohui Bei , Jugal Garg , Martin Hoefer , Kurt Mehlhorn

Forecasting electricity prices is a challenging task and an active area of research since the 1990s and the deregulation of the traditionally monopolistic and government-controlled power sectors. Although it aims at predicting both spot and…

Statistical Finance · Quantitative Finance 2025-07-23 Katarzyna Maciejowska , Bartosz Uniejewski , Rafał Weron

This paper presents a dynamic pricing and energy management framework for electric vehicle (EV) charging service providers. To set the charging prices, the service providers faces three uncertainties: the volatility of wholesale electricity…

Signal Processing · Electrical Eng. & Systems 2018-01-10 Chao Luo , Yih-Fang Huang , Vijay Gupta

We consider the problem of choosing prices of a set of products so as to maximize profit, taking into account self-elasticity and cross-elasticity, subject to constraints on the prices. We show that this problem can be formulated as…

Optimization and Control · Mathematics 2026-04-30 Maximilian Schaller , Stephen Boyd

We propose a linear cutting-plane pricing algorithm tailored for large-scale electricity markets, addressing nonconvexities arising from the Alternating Current Optimal Power Flow equations. We benchmark our algorithm against a Direct…

Optimization and Control · Mathematics 2025-04-15 Matías Romero , Felipe Verástegui , Matías Villagra

We develop a stochastic equilibrium model for an electricity market with asymmetric renewable energy forecasts. In our setting, market participants optimize their profits using public information about a conditional expectation of energy…

Optimization and Control · Mathematics 2020-05-26 Vladimir Dvorkin , Jalal Kazempour , Pierre Pinson

This work studies equilibrium problems under uncertainty where firms maximize their profits in a robust way when selling their output. Robust optimization plays an increasingly important role when best guaranteed objective values are to be…

Optimization and Control · Mathematics 2022-02-24 Christian Biefel , Frauke Liers , Jan Rolfes , Lars Schewe , Gregor Zöttl

Renewable power sources have low marginal pro-duction costs, but may result in high balancing costs due to the inherent production uncertainty. Current day-ahead markets elicit only point production profiles and neglect the degree of…

Systems and Control · Electrical Eng. & Systems 2026-04-06 Shobhit Singhal , Lesia Mitridati , Licio Romao

Electric vehicles with multiple motors provide a flexibility in meeting the driver torque demand, which calls for minimizing the battery energy consumption through torque allocation. In this paper, we present an approach to this problem…

Systems and Control · Electrical Eng. & Systems 2026-03-20 Josip Kir Hromatko , Šandor Ileš , Branimir Škugor , Joško Deur

The demand response provides an opportunity for load serving entities (LSEs) that operate retail electricity markets (REMs) to strategically purchase energy and provide reserves in wholesale electricity markets (WEMs). This paper concerns…

Optimization and Control · Mathematics 2020-06-09 Hanchen Xu , Kaiqing Zhang , Junbo Zhang

An increase in energy production from renewable energy sources is viewed as a crucial achievement in most industrialized countries. The higher variability of power production via renewables leads to a rise in ancillary service costs over…

General Finance · Quantitative Finance 2017-09-25 Mario Mureddu , Hildegard Meyer-Ortmanns

Traditional electric energy markets do not explicitly model generator contingencies. To improve the representation of resources and to enhance the modeling of uncertainty, existing markets are moving in the direction of including generator…

Systems and Control · Electrical Eng. & Systems 2019-10-08 N. G. Singhal , J. Kwon , K. W. Hedman

Bilevel programs with spatial price equilibrium constraints are strategic models that consider a price competition at the lower level. These models find application in facility location-price models, optimal bidding in power networks, and…

Optimization and Control · Mathematics 2024-06-25 Akshit Goyal , Jean-Philippe P. Richard

In a recent publication, using a simple two-period model, which is already capable to capture essential non-convex multiperiod bids, Richstein et al. have shown that in the case of optimal bidding, multi-part bidding always ensures a higher…

General Economics · Economics 2025-10-09 Dávid Csercsik , Mihály András Vághy

We investigate the problem of allocating energy from renewable sources to flexible consumers in electricity markets. We assume there is a renewable energy supplier that provides energy according to a time-varying (and possibly…

Optimization and Control · Mathematics 2010-06-25 Michael J. Neely , Arash Saber Tehrani , Alexandros G. Dimakis

Computing market equilibria is an important practical problem for market design, for example in fair division of items. However, computing equilibria requires large amounts of information (typically the valuation of every buyer for every…

Computer Science and Game Theory · Computer Science 2021-09-07 Christian Kroer , Alexander Peysakhovich , Eric Sodomka , Nicolas E. Stier-Moses

In this study, we develop a theoretical model of strategic equilibrium bidding and price-setting behaviour by heterogeneous and boundedly rational electricity producers and a grid operator in a single electricity market under uncertain…

Physics and Society · Physics 2017-04-27 Jobst Heitzig , Hildegard Meyer-Ortmanns , Sabine Auer

In the restructured electricity industry, electricity pooling markets are an oligopoly with strategic producers possessing private information (private production cost function). We focus on pooling markets where aggregate demand is…

Computer Science and Game Theory · Computer Science 2014-01-20 Mohammad Rasouli , Demosthenis Teneketzis

While globally optimal solutions to many convex programs can be computed efficiently in polynomial time, this is, in general, not possible for nonconvex optimization problems. Therefore, locally optimal approaches or other efficient…

Information Theory · Computer Science 2020-07-03 Bho Matthiesen , Christoph Hellings , Eduard A. Jorswieck , Wolfgang Utschick

Matching markets are of particular interest in computer science and economics literature as they are often used to model real-world phenomena where we aim to equitably distribute a limited amount of resources to multiple agents and…

Computer Science and Game Theory · Computer Science 2021-10-01 Andrew Yang , Bruce Changlong Xu , Ivan Villa-Renteria
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