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Shafer's theory of belief and the Bayesian theory of probability are two alternative and mutually inconsistent approaches toward modelling uncertainty in artificial intelligence. To help reduce the conflict between these two approaches,…

Artificial Intelligence · Computer Science 2013-03-08 Robert F. Bordley

This paper builds a rule for decisionmaking from the physical behavior of single neurons, the well established neural circuitry of mutual inhibition, and the evolutionary principle of natural selection. No axioms are used in the derivation…

Theoretical Economics · Economics 2023-02-21 Valdes Salvador , Gonzalo ValdesEdwards

Recent literature in the last Maximum Entropy workshop introduced an analogy between cumulative probability distributions and normalized utility functions. Based on this analogy, a utility density function can de defined as the derivative…

Artificial Intelligence · Computer Science 2009-11-10 Ali E. Abbas

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…

Theoretical Economics · Economics 2025-11-07 Kaushil Patel

Expected Utility: Algebraic Expected Utility In this paper, we provide two axiomatizations of algebraic expected utility, which is a particular generalized expected utility, in a von Neumann-Morgenstern setting, i.e. uncertainty…

Artificial Intelligence · Computer Science 2012-07-02 Paul Weng

Traditional approaches to ensure group fairness in algorithmic decision making aim to equalize ``total'' error rates for different subgroups in the population. In contrast, we argue that the fairness approaches should instead focus only on…

Machine Learning · Computer Science 2021-05-11 Junaid Ali , Preethi Lahoti , Krishna P. Gummadi

The problem of allocating scarce items to individuals is an important practical question in market design. An increasingly popular set of mechanisms for this task uses the concept of market equilibrium: individuals report their preferences,…

Computer Science and Game Theory · Computer Science 2019-12-11 Riley Murray , Christian Kroer , Alex Peysakhovich , Parikshit Shah

Winner selection by majority, in an election between two candidates, is the only rule compatible with democratic principles. Instead, when the candidates are three or more and the voters rank candidates in order of preference, there are no…

Physics and Society · Physics 2016-04-19 Pierluigi Contucci , Emanuele Panizzi , Federico Ricci-Tersenghi , Alina Sîrbu

This paper introduces a rule for policy selection in the presence of estimation uncertainty, explicitly accounting for estimation risk. The rule belongs to the class of risk-aware rules on the efficient decision frontier, characterized as…

Econometrics · Economics 2026-01-21 Victor Chernozhukov , Sokbae Lee , Adam M. Rosen , Liyang Sun

AI alignment, the challenge of ensuring AI systems act in accordance with human values, has emerged as a critical problem in the development of systems such as foundation models and recommender systems. Still, the current dominant approach,…

Artificial Intelligence · Computer Science 2025-03-14 Benjamin Heymann

Situations where a group of agents come together to jointly buy a resource that they individually cannot afford to buy are commonly observed in markets. For example in the US market for radio spectrum, a recent proposal invited small firms…

Computer Science and Game Theory · Computer Science 2015-03-09 Vijay Kamble , Jean Walrand

Decision making under uncertainty is a key component of many AI settings, and in particular of voting scenarios where strategic agents are trying to reach a joint decision. The common approach to handle uncertainty is by maximizing expected…

Computer Science and Game Theory · Computer Science 2018-11-15 Omer Lev , Reshef Meir , Svetlana Obraztsova , Maria Polukarov

We propose a game-theoretic framework that incorporates both incomplete information and general ambiguity attitudes on factors external to all players. Our starting point is players' preferences on payoff-distribution vectors, essentially…

Economics · Quantitative Finance 2017-04-04 Jian Yang

We develop a nonparametric approach to identify and estimate consumer preferences and unobserved heterogeneity under nonlinear price schedules. Leveraging variation across multiple price schedules, we show that both the utility function and…

Econometrics · Economics 2026-04-29 Samuele Centorrino , Frédérique Fève , Jean-Pierre Florens

Various structured argumentation frameworks utilize preferences as part of their standard inference procedure to enable reasoning with preferences. In this paper, we consider an inverse of the standard reasoning problem, seeking to identify…

Artificial Intelligence · Computer Science 2020-05-13 Quratul-ain Mahesar , Nir Oren , Wamberto W. Vasconcelos

We propose and axiomatize a new model of incomplete preferences under uncertainty, which we call \textit{hope-and-prepare preferences}. An act is considered more desirable than an other act when, and only when, both an optimistic…

Theoretical Economics · Economics 2025-07-29 Pierre Bardier , Bach Dong-Xuan , Van-Quy Nguyen

Commutativity is a normative criterion of aggregation and updating stating that the aggregation of expert posteriors should be identical to the update of the aggregated priors. I propose a thought experiment that raises questions about the…

Theoretical Economics · Economics 2024-07-23 Yuzhao Yang

The fair-ranking problem, which asks to rank a given set of items to maximize utility subject to group fairness constraints, has received attention in the fairness, information retrieval, and machine learning literature. Recent works,…

Machine Learning · Computer Science 2022-12-01 Anay Mehrotra , Nisheeth K. Vishnoi

It is standard in computational social choice to analyse welfare considerations under the assumptions of normalized utilities. In this note, we summarize some common reasons for this approach. We then mention another justification which is…

Computer Science and Game Theory · Computer Science 2019-05-28 Haris Aziz

This paper considers mean-variance optimization under uncertainty, specifically when one desires a sparsified set of optimal portfolio weights. From the standpoint of a Bayesian investor, our approach produces a small portfolio from many…

Statistical Finance · Quantitative Finance 2016-10-05 David Puelz , P. Richard Hahn , Carlos M. Carvalho