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We study the identification and estimation of first-price auction models where bidders have ambiguity about the valuation distribution and their preferences are represented by maxmin expected utility. When entry is exogenous, the…

Economics · Quantitative Finance 2015-04-13 Gaurab Aryal , Dong-Hyuk Kim

We study equilibrium investment into bidding and latency reduction for different sequencing policies. For a batch auction design, we observe that bidders shade bids according to the likelihood that competing bidders land in the current…

Computer Science and Game Theory · Computer Science 2026-02-27 Christoph Schlegel

We are interested in mechanisms that maximize social welfare. In [1] this problem was studied for multi-unit auctions with unit demand bidders and for the public project problem, and in each case social welfare undominated mechanisms in the…

Computer Science and Game Theory · Computer Science 2008-10-20 Krzysztof R. Apt , Vangelis Markakis

We consider auctions in which greedy algorithms, paired with first-price or critical-price payment rules, are used to resolve multi-parameter combinatorial allocation problems. We study the price of anarchy for social welfare in such…

Computer Science and Game Theory · Computer Science 2014-12-02 Brendan Lucier , Allan Borodin

A standard result from auction theory is that bidding truthfully in a second price auction is a weakly dominant strategy. The result, however, does not apply in the presence of Cost Per Action (CPA) constraints. Such constraints exist, for…

Computer Science and Game Theory · Computer Science 2019-05-13 Benjamin Heymann

We consider nonparametric identification of independent private value first-price auction models, in which the analyst only observes winning bids. Our benchmark model assumes an exogenous number of bidders $N$. We show that, if the bidders…

Econometrics · Economics 2024-12-30 Emmanuel Guerre , Yao Luo

The first-price auction is popular in practice for its simplicity and transparency. Moreover, its potential virtues grow in complex settings where incentive compatible auctions may generate little or no revenue. Unfortunately, the…

Computer Science and Game Theory · Computer Science 2013-04-30 Darrell Hoy , Kamal Jain , Christopher A. Wilkens

We study the design of prior-independent auctions in a setting with heterogeneous bidders. In particular, we consider the setting of selling to $n$ bidders whose values are drawn from $n$ independent but not necessarily identical…

Computer Science and Game Theory · Computer Science 2023-11-08 Guru Guruganesh , Aranyak Mehta , Di Wang , Kangning Wang

Generating good revenue is one of the most important problems in Bayesian auction design, and many (approximately) optimal dominant-strategy incentive compatible (DSIC) Bayesian mechanisms have been constructed for various auction settings.…

Computer Science and Game Theory · Computer Science 2020-08-07 Jing Chen , Bo Li , Yingkai Li , Pinyan Lu

Online auctions play a central role in online advertising, and are one of the main reasons for the industry's scalability and growth. With great changes in how auctions are being organized, such as changing the second- to first-price…

Computer Science and Game Theory · Computer Science 2020-09-04 Djordje Gligorijevic , Tian Zhou , Bharatbhushan Shetty , Brendan Kitts , Shengjun Pan , Junwei Pan , Aaron Flores

We study auction design when a seller relies on machine-learning predictions of bidders' valuations that may be unreliable. Motivated by modern ML systems that are often accurate but occasionally fail in a way that is essentially…

Computer Science and Game Theory · Computer Science 2026-01-29 Ilan Lobel , Humberto Moreira , Omar Mouchtaki

We study the inefficiency of mixed equilibria, expressed as the price of anarchy, of all-pay auctions in three different environments: combinatorial, multi-unit and single-item auctions. First, we consider item-bidding combinatorial…

Computer Science and Game Theory · Computer Science 2015-08-06 George Christodoulou , Alkmini Sgouritsa , Bo Tang

This paper establishes the Price of Stability (PoS) for First Price Auctions, for all equilibrium concepts that have been studied in the literature: Bayes Nash Equilibrium $\subsetneq$ Bayes Correlated Equilibrium $\subsetneq$ Bayes Coarse…

Computer Science and Game Theory · Computer Science 2022-07-12 Yaonan Jin , Pinyan Lu

In a sponsored search auction, decisions about how to rank ads impose tradeoffs between objectives such as revenue and welfare. In this paper, we examine how these tradeoffs should be made. We begin by arguing that the most natural solution…

Computer Science and Game Theory · Computer Science 2013-04-30 Ben Roberts , Dinan Gunawardena , Ian A. Kash , Peter Key

We study equilibria in two-buyer sequential second-price (or first-price) auctions for identical goods. Buyers have weakly decreasing incremental values, and we make a behavioural no-overbidding assumption: the buyers do not bid above their…

Computer Science and Game Theory · Computer Science 2020-06-08 Mete Şeref Ahunbay , Brendan Lucier , Adrian Vetta

We study the Price of Anarchy of simultaneous first-price auctions for buyers with submodular and subadditive valuations. The current best upper bounds for the Bayesian Price of Anarchy of these auctions are e/(e-1) [Syrgkanis and Tardos…

Computer Science and Game Theory · Computer Science 2015-08-06 George Christodoulou , Annamária Kovács , Alkmini Sgouritsa , Bo Tang

This paper presents a multi-agent reinforcement learning algorithm to represent strategic bidding behavior in freight transport markets. Using this algorithm, we investigate whether feasible market equilibriums arise without any central…

Machine Learning · Computer Science 2021-02-19 Wouter van Heeswijk

In revenue maximization of selling a digital product in a social network, the utility of an agent is often considered to have two parts: a private valuation, and linearly additive influences from other agents. We study the incomplete…

Computer Science and Game Theory · Computer Science 2011-09-27 Wei Chen , Pinyan Lu , Xiaorui Sun , Bo Tang , Yajun Wang , Zeyuan Allen Zhu

We introduce a new numerical framework to learn optimal bidding strategies in repeated auctions when the seller uses past bids to optimize her mechanism. Crucially, we do not assume that the bidders know what optimization mechanism is used…

Computer Science and Game Theory · Computer Science 2021-02-09 Thomas Nedelec , Jules Baudet , Vianney Perchet , Noureddine El Karoui

We study signaling in Bayesian ad auctions, in which bidders' valuations depend on a random, unknown state of nature. The auction mechanism has complete knowledge of the actual state of nature, and it can send signals to bidders so as to…

Computer Science and Game Theory · Computer Science 2022-01-25 Francesco Bacchiocchi , Matteo Castiglioni , Alberto Marchesi , Giulia Romano , Nicola Gatti
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