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We propose a stochastic map model of economic dynamics. In the last decade, an array of observations in economics has been investigated in the econophysics literature, a major example being the universal features of inequality in terms of…

General Finance · Quantitative Finance 2015-05-27 Anindya S. Chakrabarti

We study budget aggregation under $\ell_1$-utilities, a model for collective decision making in which agents with heterogeneous preferences must allocate a public budget across a set of alternatives. Each agent reports their preferred…

Computer Science and Game Theory · Computer Science 2026-02-27 Javier Cembrano , Rupert Freeman , Ulrike Schmidt-Kraepelin , Markus Utke

Consider a causal structure with endogeneity (i.e., unobserved confoundedness) in empirical data, where an instrumental variable is available. In this setting, we show that the mean social welfare function can be identified and represented…

Econometrics · Economics 2020-12-15 Yuya Sasaki , Takuya Ura

Information policies such as scores, ratings, and recommendations are increasingly shaping society's choices in high-stakes domains. We provide a framework to study the welfare implications of information policies on a population of…

Theoretical Economics · Economics 2023-09-06 Laura Doval , Alex Smolin

This paper considers quantile-welfare evaluation of social welfare as an alternative to utilitarian evaluation. Manski (1988) originally proposed and studied maximization of quantile utility as a model of individual decision making under…

Econometrics · Economics 2026-04-17 Charles F. Manski , John Mullahy

Many organizations depend on human decision-makers to make subjective decisions, especially in settings where information is scarce. Although workers are often viewed as interchangeable, the specific individual assigned to a task can…

Optimization and Control · Mathematics 2024-10-11 Eric G. Stratman , Justin J. Boutilier , Laura A. Albert

We study the fair allocation of indivisible items to $n$ agents to maximize the utilitarian social welfare, where the fairness criterion is envy-free up to one item and there are only two different utility functions shared by the agents. We…

Computer Science and Game Theory · Computer Science 2025-09-12 Jiaxuan Ma , Yong Chen , Guangting Chen , Mingyang Gong , Guohui Lin , An Zhang

We study a problem where a group of agents has to decide how some fixed value should be shared among them. We are interested in settings where the share that each agent receives is based on how that agent is evaluated by other members of…

Computer Science and Game Theory · Computer Science 2013-06-04 Arthur Carvalho , Kate Larson

This paper examines normatively acceptable criteria for evaluating social states when individuals are responsible for their skills or productivity and these factors should be accounted for. We consider social choice rules over sets of…

Theoretical Economics · Economics 2025-02-12 Kensei Nakamura

This paper develops a robust and efficient method for policy learning from observational data in the presence of unobserved confounding, complementing existing instrumental variable (IV) based approaches. We employ the marginal sensitivity…

Econometrics · Economics 2025-07-29 Zequn Jin , Gaoqian Xu , Xi Zheng , Yahong Zhou

We propose a stochastic model of evolution of wealth in a society of economic agents. In the model, an agent can be in two states: inactive and active. Transitions between the states occur at random time intervals. In the active state, the…

Physics and Society · Physics 2007-05-23 Indrani Bose , Subhasis Banerjee

We derive the most probable distribution of resources for a simple society. We find that a probabilistic analysis forbids both too much and too less equity, and selects instead a minimally ordered state. We give the detailed calculations…

Statistical Mechanics · Physics 2008-12-10 Daniel O. Badagnani

This paper develops a nonparametric statistical model of wealth distribution that imposes little structure on the fluctuations of household wealth. In this setting, we use new techniques to obtain a closed-form household-by-household…

Economics · Quantitative Finance 2016-01-19 Ricardo T. Fernholz

Subgroup analysis evaluates treatment effects across multiple sub-populations. When subgroups are defined by latent memberships inferred from imperfect measurements, the analysis typically involves two inter-connected models, a latent class…

Methodology · Statistics 2026-01-05 Yuanhui Luo , Xinzhou Guo , Yuqi Gu

In many prediction problems, the predictive model affects the distribution of the prediction target. This phenomenon is known as performativity and is often caused by the behavior of individuals with vested interests in the outcome of the…

Machine Learning · Statistics 2024-06-03 Seamus Somerstep , Ya'acov Ritov , Yuekai Sun

In several socioeconomic-critical decision-making settings, such as fair resource allocation, climate policy, or AI alignment, multiple principals interact within a common arena. While it is well established that these principals may have…

Computer Science and Game Theory · Computer Science 2026-05-13 Sarvin Bahmani , Soumyajit Paul , Sven Schewe , Shadi Tasdighi Kalat , Ashutosh Trivedi

Algorithmic fairness involves expressing notions such as equity, or reasonable treatment, as quantifiable measures that a machine learning algorithm can optimise. Most work in the literature to date has focused on classification problems…

Machine Learning · Computer Science 2020-03-06 Daniel Steinberg , Alistair Reid , Simon O'Callaghan

The spatial distribution of income shapes the structure and organisation of cities and its understanding has broad societal implications. Despite an abundant literature, many issues remain unclear. In particular, all definitions of…

Physics and Society · Physics 2016-06-22 Rémi Louf , Marc Barthelemy

What fraction of the potential social surplus in an environment can be extracted by a revenue-maximizing monopolist? We investigate this problem in Bayesian single-parameter environments with independent private values. The precise answer…

Computer Science and Game Theory · Computer Science 2013-05-03 Robert Kleinberg , Yang Yuan

Algorithmic systems are known to impact marginalized groups severely, and more so, if all sources of bias are not considered. While work in algorithmic fairness to-date has primarily focused on addressing discrimination due to individually…

Machine Learning · Computer Science 2021-05-14 Vishwali Mhasawade , Rumi Chunara