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I consider the optimal hourly (or per-unit-time in general) pricing problem faced by a freelance worker (or a service provider) on an on-demand service platform. Service requests arriving while the worker is busy are lost forever. Thus, the…

Computer Science and Game Theory · Computer Science 2019-07-09 Vijay Kamble

We study revenue-optimal pricing and driver compensation in ridesharing platforms when drivers have heterogeneous preferences over locations. If a platform ignores drivers' location preferences, it may make inefficient trip dispatches;…

Multiagent Systems · Computer Science 2019-08-14 Duncan Rheingans-Yoo , Scott Duke Kominers , Hongyao Ma , David C. Parkes

This paper studies the timing of trades under mean-reverting price dynamics subject to fixed transaction costs. We solve an optimal double stopping problem to determine the optimal times to enter and subsequently exit the market, when…

Trading and Market Microstructure · Quantitative Finance 2015-04-21 Tim Leung , Xin Li , Zheng Wang

High-frequency trading, in both traditional and decentralized markets, induces latency races and redundant order flow as traders spend resources to win time-sensitive opportunities. We show that auctioning artificial time priority can…

Computer Science and Game Theory · Computer Science 2026-02-17 Agostino Capponi , Brian Zhu

Motivated by applications in online marketplaces such as ride-hailing, we study how strategic servers impact the system performance. We consider a discrete-time process in which, heterogeneous types of customers and servers arrive. Each…

Optimization and Control · Mathematics 2021-06-25 Sushil Mahavir Varma , Francisco Castro , Siva Theja Maguluri

An empirical study of joint bivariate probability distribution of two consecutive price increments for a set of stocks at time scales ranging from one minute to thirty minutes reveals asymmetric structures with respect to the axes y=0, y=x,…

Physics and Society · Physics 2008-12-02 Andrei Leonidov , Vladimir Trainin , Alexander Zaitsev , Sergey Zaitsev

We consider an online preemptive scheduling problem where jobs with deadlines arrive sporadically. A commitment requirement is imposed such that the scheduler has to either accept or decline a job immediately upon arrival. The scheduler's…

Data Structures and Algorithms · Computer Science 2011-10-07 Shiyao Chen , Lang Tong , Ting He

Despite the potential of online sharing economy platforms such as Uber, Lyft, or Foodora to democratize the labor market, these services are often accused of fostering unfair working conditions and low wages. These problems have been…

Physics and Society · Physics 2020-09-01 Eszter Bokányi , Anikó Hannák

Recommending routes by their probability of having a rider has long been the goal of conventional route recommendation systems. While this maximizes the platform-specific criteria of efficiency, it results in sub-optimal outcomes with the…

Data Structures and Algorithms · Computer Science 2025-04-24 Aqsa Ashraf Makhdomi , Iqra Altaf Gillani

The performance of ride-sourcing services such as Uber and Lyft is determined by the collective choices of individual drivers who are not only chauffeurs but private fleet providers. In such a context, ride-sourcing drivers are free to…

Physics and Society · Physics 2021-07-19 Peyman Ashkrof , Gonçalo Homem de Almeida Correia , Oded Cats , Bart van Arem

A firm that sells a non perishable product considers intertemporal price discrimination in the objective of maximizing its long-run average revenue. We consider a general model of patient customers with changing valuations. Arriving…

Optimization and Control · Mathematics 2020-02-17 Araman Victor , Fayad Bassam

We study overpricing in a repeated game between two representative agents: a market maker, who controls market liquidity, and a market taker, who chooses trade quantities. Market prices evolve through the endogenous price impact of trades…

Trading and Market Microstructure · Quantitative Finance 2026-05-12 Luigi Foscari , Emanuele Guidotti , Nicolò Cesa-Bianchi , Tatjana Chavdarova , Alfio Ferrara

This paper focuses on the operation of an electricity market that accounts for participants that bid at a sub-minute timescale. To that end, we model the market-clearing process as a dynamical system, called market dynamics, which is…

Optimization and Control · Mathematics 2021-12-14 Pengcheng You , Yan Jiang , Enoch Yeung , Dennice F. Gayme , Enrique Mallada

We investigate the design of mechanisms to incentivize high quality in crowdsourcing environments with strategic agents, when entry is an endogenous, strategic choice. Modeling endogenous entry in crowdsourcing is important because there is…

Computer Science and Game Theory · Computer Science 2015-03-20 Arpita Ghosh , Preston McAfee

We present and study a new model for energy-aware and profit-oriented scheduling on a single processor. The processor features dynamic speed scaling as well as suspension to a sleep mode. Jobs arrive over time, are preemptable, and have…

Data Structures and Algorithms · Computer Science 2012-09-14 Peter Kling , Andreas Cord-Landwehr , Frederik Mallmann-Trenn

In financial applications, latency advantages -- the ability to make decisions later than others, even without the ability to see what others have done -- can provide individual participants with an edge by allowing them to gather…

Theoretical Economics · Economics 2026-05-07 Ciamac C. Moallemi , Mallesh M. Pai , Dan Robinson

A major challenge for ridesharing platforms is to guarantee profit and fairness simultaneously, especially in the presence of misaligned incentives of drivers and riders. We focus on the dispatching-pricing problem to maximize the total…

Optimization and Control · Mathematics 2022-07-14 Zishuo Zhao , Xi Chen , Xuefeng Zhang , Yuan Zhou

We consider the problem faced by a service platform that needs to match limited supply with demand but also to learn the attributes of new users in order to match them better in the future. We introduce a benchmark model with heterogeneous…

Machine Learning · Computer Science 2020-08-07 Ramesh Johari , Vijay Kamble , Yash Kanoria

A consumer who wants to consume a good in a particular period may nevertheless attempt to buy it earlier if he is concerned that in delaying he would find the good already sold. This paper considers a model in which the good may be offered…

General Economics · Economics 2023-04-05 Amihai Glazer , Refael Hassin , Irit Nowik

Stochastic clocks represent a class of time change methods for incorporating trading activity into continuous-time financial models, with the ability to deal with typical asymmetrical and tail risks in financial returns. In this paper we…

Statistical Finance · Quantitative Finance 2024-08-20 Zhe Fei , Weixuan Xia