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We present a recommender system based on the Random Utility Model. Online shoppers are modeled as rational decision makers with limited information, and the recommendation task is formulated as the problem of optimally enriching the…

Computer Science and Game Theory · Computer Science 2024-09-24 Benjamin Heymann , Flavian Vasile , David Rohde

Information foraging connects optimal foraging theory in ecology with how humans search for information. The theory suggests that, following an information scent, the information seeker must optimize the tradeoff between exploration by…

Information Retrieval · Computer Science 2016-11-18 Peter Wittek , Ying-Hsang Liu , Sándor Darányi , Tom Gedeon , Ik Soo Lim

Driven by the new economic opportunities created by the creator economy, an increasing number of content creators rely on and compete for revenue generated from online content recommendation platforms. This burgeoning competition reshapes…

Information Retrieval · Computer Science 2024-04-30 Fan Yao , Yiming Liao , Mingzhe Wu , Chuanhao Li , Yan Zhu , James Yang , Qifan Wang , Haifeng Xu , Hongning Wang

Recent progress towards theoretical interpretability guarantees for AI has been made with classifiers that are based on interactive proof systems. A prover selects a certificate from the datapoint and sends it to a verifier who decides the…

Machine Learning · Computer Science 2023-06-08 Stephan Wäldchen

There are clear benefits associated with a particular consumer choice for many current markets. For example, as we consider here, some products might carry environmental or `green' benefits. Some consumers might value these benefits while…

General Finance · Quantitative Finance 2008-12-02 Gérard Weisbuch , Vincent Buskens , Luat Vuong

Consequential decision-making incentivizes individuals to strategically adapt their behavior to the specifics of the decision rule. While a long line of work has viewed strategic adaptation as gaming and attempted to mitigate its effects,…

Machine Learning · Computer Science 2020-02-19 John Miller , Smitha Milli , Moritz Hardt

We consider the problem of dividing items between individuals in a way that is fair both in the sense of distributional fairness and in the sense of not having disparate impact across protected classes. An important existing mechanism for…

Computer Science and Game Theory · Computer Science 2019-06-10 Alexander Peysakhovich , Christian Kroer

Cost-effectiveness analyses (CEAs) are at the center of health economic decision making. While these analyses help policy analysts and economists determine coverage, inform policy, and guide resource allocation, they are statistically…

Methodology · Statistics 2020-09-10 Arman Oganisian , Nandita Mitra , Jason Roy

We study the allocation of divisible goods to competing agents via a market mechanism, focusing on agents with Leontief utilities. The majority of the economics and mechanism design literature has focused on \emph{linear} prices, meaning…

Computer Science and Game Theory · Computer Science 2019-12-24 Ashish Goel , Reyna Hulett , Benjamin Plaut

Most analyses of manipulation of voting schemes have adopted two assumptions that greatly diminish their practical import. First, it is usually assumed that the manipulators have full knowledge of the votes of the nonmanipulating agents.…

Computer Science and Game Theory · Computer Science 2012-10-19 Tyler Lu , Pingzhong Tang , Ariel D. Procaccia , Craig Boutilier

We draw attention to an important, yet largely overlooked aspect of evaluating fairness for automated decision making systems---namely risk and welfare considerations. Our proposed family of measures corresponds to the long-established…

Artificial Intelligence · Computer Science 2019-01-14 Hoda Heidari , Claudio Ferrari , Krishna P. Gummadi , Andreas Krause

The implementation of a supervision and incentive process for identical workers may lead to wage variance that stems from employer and employee optimization. The harder it is to assess the nature of the labor output, the more important such…

Econometrics · Economics 2018-06-06 Nitsa Kasir , Idit Sohlberg

This paper delves into financial markets that incorporate a novel form of heterogeneity among investors, specifically in terms of their beliefs regarding the reliability of signals in the business cycle economy model, which may be biased.…

Mathematical Finance · Quantitative Finance 2024-05-16 Zongxia Liang , Qi Ye

An agent choosing between various actions tends to take the one with the lowest cost. But this choice is arguably too rigid (not adaptive) to be useful in complex situations, e.g., where exploration-exploitation trade-off is relevant in…

Data Analysis, Statistics and Probability · Physics 2018-12-04 Armen E. Allahverdyan , Aram Galstyan , Ali E. Abbas , Zbigniew R. Struzik

A welfare-maximizing designer allocates two kinds of goods using two wasteful screening instruments: ordeals, which enter agents' utilities additively, and damages, which harm agents in proportion to their values for the goods. If agents…

Theoretical Economics · Economics 2026-01-29 Filip Tokarski

Complex adaptive systems have been the subject of much recent attention. It is by now well-established that members (`agents') tend to self-segregate into opposing groups characterized by extreme behavior. However, while different social…

Condensed Matter · Physics 2009-11-07 Shahar Hod , Ehud Nakar

The notion of expense in Bayesian optimisation generally refers to the uniformly expensive cost of function evaluations over the whole search space. However, in some scenarios, the cost of evaluation for black-box objective functions is…

Machine Learning · Computer Science 2019-09-10 Majid Abdolshah , Alistair Shilton , Santu Rana , Sunil Gupta , Svetha Venkatesh

Portfolio underdiversification is one of the most costly losses accumulated over a household's life cycle. We provide new evidence on the impact of financial inclusion services on households' portfolio choice and investment efficiency using…

General Economics · Economics 2023-11-03 Yong Bian , Xiqian Wang , Qin Zhang

The rise of algorithmic decision making led to active researches on how to define and guarantee fairness, mostly focusing on one-shot decision making. In several important applications such as hiring, however, decisions are made in multiple…

Machine Learning · Statistics 2021-12-13 Vitalii Emelianov , George Arvanitakis , Nicolas Gast , Krishna Gummadi , Patrick Loiseau

Single minded agents have strict preferences, in which a bundle is acceptable only if it meets a certain demand. Such preferences arise naturally in scenarios such as allocating computational resources among users, where the goal is to…

Computer Science and Game Theory · Computer Science 2016-04-29 Simina Brânzei , Yuezhou Lv , Ruta Mehta