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We consider a multiproduct monopoly pricing model. We provide sufficient conditions under which the optimal mechanism can be implemented via upgrade pricing -- a menu of product bundles that are nested in the strong set order. Our approach…

Computer Science and Game Theory · Computer Science 2021-12-03 Dirk Bergemann , Alessandro Bonatti , Andreas Haupt , Alex Smolin

This monograph develops a comprehensive statistical learning framework that is robust to (distributional) perturbations in the data using Distributionally Robust Optimization (DRO) under the Wasserstein metric. Beginning with fundamental…

Machine Learning · Statistics 2021-08-23 Ruidi Chen , Ioannis Ch. Paschalidis

Randomized mechanisms, which map a set of bids to a probability distribution over outcomes rather than a single outcome, are an important but ill-understood area of computational mechanism design. We investigate the role of randomized…

Computer Science and Game Theory · Computer Science 2009-04-17 Patrick Briest , Shuchi Chawla , Robert Kleinberg , S. Matthew Weinberg

We consider statistical methods which invoke a min-max distributionally robust formulation to extract good out-of-sample performance in data-driven optimization and learning problems. Acknowledging the distributional uncertainty in learning…

Statistics Theory · Mathematics 2021-08-05 Jose Blanchet , Karthyek Murthy , Viet Anh Nguyen

Model explainability is crucial for human users to be able to interpret how a proposed classifier assigns labels to data based on its feature values. We study generalized linear models constructed using sets of feature value rules, which…

Machine Learning · Statistics 2023-11-06 Sanjeeb Dash , Soumyadip Ghosh , Joao Goncalves , Mark S. Squillante

The problem of robust dynamic pricing of an abstract commodity, whose inventory is specified at an initial time but never subsequently replenished, originally studied by Perakis and Sood (2006) in discrete time, is considered from the…

Optimization and Control · Mathematics 2012-09-04 Terry L. Friesz , Changhyun Kwon , Tae Il Kim , Lifan Fan , Tao Yao

In this paper, an optimization problem with uncertain constraint coefficients is considered. Possibility theory is used to model the uncertainty. Namely, a joint possibility distribution in constraint coefficient realizations, called…

Optimization and Control · Mathematics 2023-09-07 Romain Guillaume , Adam Kasperski , Pawel Zielinski

Real-Time Bidding (RTB) is an important mechanism in modern online advertising systems. Advertisers employ bidding strategies in RTB to optimize their advertising effects subject to various financial requirements, especially the…

Machine Learning · Computer Science 2022-07-19 Haozhe Wang , Chao Du , Panyan Fang , Shuo Yuan , Xuming He , Liang Wang , Bo Zheng

Real-time bidding (RTB) is an important mechanism in online display advertising, where a proper bid for each page view plays an essential role for good marketing results. Budget constrained bidding is a typical scenario in RTB where the…

Artificial Intelligence · Computer Science 2018-10-24 Di Wu , Xiujun Chen , Xun Yang , Hao Wang , Qing Tan , Xiaoxun Zhang , Jian Xu , Kun Gai

Recoverable robust optimization is a multi-stage approach, where it is possible to adjust a first-stage solution after the uncertain cost scenario is revealed. We analyze this approach for a class of selection problems. The aim is to choose…

Optimization and Control · Mathematics 2021-02-22 Marc Goerigk , Stefan Lendl , Lasse Wulf

We study robust mechanisms to sell a common-value good. We assume that the mechanism designer knows the prior distribution of the buyers' common value but is unsure of the buyers' information structure about the common value. We use linear…

Computer Science and Game Theory · Computer Science 2016-11-22 Songzi Du

Cloud computing as a fairly new commercial paradigm, widely investigated by different researchers, already has a great range of challenges. Pricing is a major problem in Cloud computing marketplace; as providers are competing to attract…

Computer Science and Game Theory · Computer Science 2023-09-21 S. Ghasemi , M. R. Meybodi , M. Dehghan , A. M. Rahmani

A novel distributed algorithm is proposed for finite-time converging to a feasible consensus solution satisfying global optimality to a certain accuracy of the distributed robust convex optimization problem (DRCO) subject to bounded…

Optimization and Control · Mathematics 2023-09-06 Xunhao Wu , Jun Fu

In safety-critical applications, machine learning models should generalize well under worst-case distribution shifts, that is, have a small robust risk. Invariance-based algorithms can provably take advantage of structural assumptions on…

Machine Learning · Statistics 2025-02-06 Julia Kostin , Nicola Gnecco , Fanny Yang

In robust combinatorial optimization, we would like to find a solution that performs well under all realizations of an uncertainty set of possible parameter values. How we model this uncertainty set has a decisive influence on the…

Optimization and Control · Mathematics 2024-04-30 Marc Goerigk , Mohammad Khosravi

In this paper, we consider a distributionally robust resource planning model inspired by a real-world service industry problem. In this problem, there is a mixture of known demand and uncertain future demand. Prior to having full knowledge…

Optimization and Control · Mathematics 2022-07-07 Ben Black , Russell Ainslie , Trivikram Dokka , Christopher Kirkbride

We consider the problem of optimizing locations of distribution centers (DCs) and plans for distributing resources such as test kits and vaccines, under spatiotemporal uncertainties of disease spread and demand for the resources. We aim to…

Optimization and Control · Mathematics 2022-07-19 Beste Basciftci , Xian Yu , Siqian Shen

Robust machine learning formulations have emerged to address the prevalent vulnerability of deep neural networks to adversarial examples. Our work draws the connection between optimal robust learning and the privacy-utility tradeoff…

Machine Learning · Computer Science 2021-05-20 Ye Wang , Shuchin Aeron , Adnan Siraj Rakin , Toshiaki Koike-Akino , Pierre Moulin

We study the economic interactions among sellers and buyers in online markets. In such markets, buyers have limited information about the product quality, but can observe the sellers' reputations which depend on their past transaction…

Computer Science and Game Theory · Computer Science 2021-03-31 Qian Ma , Jianwei Huang , Tamer Başar , Ji Liu , Xudong Chen

This paper investigates the regret associated with the Distributionally Robust Control (DRC) strategies used to address multistage optimization problems where the involved probability distributions are not known exactly, but rather are…

Optimization and Control · Mathematics 2022-12-02 Venkatraman Renganathan , Dongjun Wu