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A large fraction of online advertisement is sold via repeated second price auctions. In these auctions, the reserve price is the main tool for the auctioneer to boost revenues. In this work, we investigate the following question: Can…

Computer Science and Game Theory · Computer Science 2020-02-19 Yash Kanoria , Hamid Nazerzadeh

This paper investigates the impact of pre-existing offline data on online learning, in the context of dynamic pricing. We study a single-product dynamic pricing problem over a selling horizon of $T$ periods. The demand in each period is…

Machine Learning · Computer Science 2021-11-18 Jinzhi Bu , David Simchi-Levi , Yunzong Xu

We study an online contextual dynamic pricing problem, where customers decide whether to purchase a product based on its features and price. We introduce a novel approach to modeling a customer's expected demand by incorporating…

Machine Learning · Computer Science 2023-12-27 Jianyu Xu , Yu-Xiang Wang

Model-based reinforcement learning promises to learn an optimal policy from fewer interactions with the environment compared to model-free reinforcement learning by learning an intermediate model of the environment in order to predict…

Machine Learning · Computer Science 2022-06-08 Abhinav Bhatia , Philip S. Thomas , Shlomo Zilberstein

In lending, where prices are specific to both customers and products, having a well-functioning personalized pricing policy in place is essential to effective business making. Typically, such a policy must be derived from observational…

Machine Learning · Computer Science 2023-09-08 Christopher Bockel-Rickermann , Sam Verboven , Tim Verdonck , Wouter Verbeke

We study the problem of a seller dynamically pricing $d$ distinct types of indivisible goods, when faced with the online arrival of unit-demand buyers drawn independently from an unknown distribution. The goods are not in limited supply,…

Data Structures and Algorithms · Computer Science 2017-06-13 Aaron Roth , Aleksandrs Slivkins , Jonathan Ullman , Zhiwei Steven Wu

When launching new products, firms face uncertainty about market reception. Online reviews provide valuable information not only to consumers but also to firms, allowing firms to adjust the product characteristics, including its selling…

Machine Learning · Computer Science 2024-04-24 José Correa , Mathieu Mari , Andrew Xia

We study the dynamic pricing problem with knapsack, addressing the challenge of balancing exploration and exploitation under resource constraints. We introduce three algorithms tailored to different informational settings: a Boundary…

Optimization and Control · Mathematics 2025-01-27 Ruicheng Ao , Jiashuo Jiang , David Simchi-Levi

We consider dynamic pricing algorithms as applied to the online set cover problem. In the dynamic pricing framework, we assume the standard client server model with the additional constraint that the server can only place prices over the…

Data Structures and Algorithms · Computer Science 2024-09-24 Max Bender , Aum Desai , Jialin He , Oliver Thompson , Pramithas Upreti

This paper examines whether one can learn to play an optimal action while only knowing part of true specification of the environment. We choose the optimal pricing problem as our laboratory, where the monopolist is endowed with an…

Theoretical Economics · Economics 2022-07-22 In-Koo Cho , Jonathan Libgober

We consider a stochastic inventory control problem under censored demands, lost sales, and positive lead times. This is a fundamental problem in inventory management, with significant literature establishing near-optimality of a simple…

Machine Learning · Computer Science 2019-05-14 Shipra Agrawal , Randy Jia

State-of-the-art model-based reinforcement learning methods train policies on imagined rollouts. These rollouts are trajectories generated by a learned dynamics model and are scored by a learned reward model, but without querying the true…

Machine Learning · Computer Science 2026-05-13 Nadav Timor , Ravid Shwartz-Ziv , Micah Goldblum , Yann LeCun , David Harel

Auction-based recommender systems are prevalent in online advertising platforms, but they are typically optimized to allocate recommendation slots based on immediate expected return metrics, neglecting the downstream effects of…

Information Retrieval · Computer Science 2023-08-01 Ruiyang Xu , Jalaj Bhandari , Dmytro Korenkevych , Fan Liu , Yuchen He , Alex Nikulkov , Zheqing Zhu

Motivated by the prevalence of ``price protection guarantee", which allows a customer who purchased a product in the past to receive a refund from the seller during the so-called price protection period (typically defined as a certain time…

Machine Learning · Statistics 2022-11-04 Qing Feng , Ruihao Zhu , Stefanus Jasin

Many real-world auctions are dynamic processes, in which bidders interact and report information over multiple rounds with the auctioneer. The sequential decision making aspect paired with imperfect information renders analyzing the…

Computer Science and Game Theory · Computer Science 2023-12-21 Vinzenz Thoma , Michael Curry , Niao He , Sven Seuken

The customer baseline is required to assign rebates to participants in baseline-based demand response (DR) programs. The average baseline method has been widely accepted in practice due to its simplicity and reliability. However, the…

Systems and Control · Electrical Eng. & Systems 2020-11-24 Xiaochu Wang , Wenyuan Tang

Demand response (DR) has been demonstrated to be an effective method for reducing peak load and mitigating uncertainties on both the supply and demand sides of the electricity market. One critical question for DR research is how to…

Machine Learning · Computer Science 2023-06-27 Jun Song , Chaoyue Zhao

Algorithmic recourse seeks to provide individuals with actionable recommendations that increase their chances of receiving favorable outcomes from automated decision systems (e.g., loan approvals). While prior research has emphasized…

Machine Learning · Computer Science 2026-02-03 Marina Ceccon , Alessandro Fabris , Goran Radanović , Asia J. Biega , Gian Antonio Susto

We study the problem of online dynamic pricing with two types of fairness constraints: a "procedural fairness" which requires the proposed prices to be equal in expectation among different groups, and a "substantive fairness" which requires…

Machine Learning · Computer Science 2022-09-27 Jianyu Xu , Dan Qiao , Yu-Xiang Wang

An automatic program that generates constant profit from the financial market is lucrative for every market practitioner. Recent advance in deep reinforcement learning provides a framework toward end-to-end training of such trading agent.…

Trading and Market Microstructure · Quantitative Finance 2018-07-10 Chien Yi Huang
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