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We discuss the portfolio optimization problem with the obligatory deposits constraint. Recently it has been shown that as a consequence of this nonlinear constraint, the solution consists of an exponentially large number of optimal…

Portfolio Management · Quantitative Finance 2015-06-17 M. Andrecut

In this paper the theory of flexibly-bounded rationality which is an extension to the theory of bounded rationality is revisited. Rational decision making involves using information which is almost always imperfect and incomplete together…

Artificial Intelligence · Computer Science 2013-06-11 Tshilidzi Marwala

This paper deals with the scenario approach to robust optimization. This relies on a random sampling of the possibly infinite number of constraints induced by uncertainties in the parameters of an optimization problem. Solving the resulting…

Optimization and Control · Mathematics 2023-03-08 Fabien Lauer

Rational decision making in its linguistic description means making logical decisions. In essence, a rational agent optimally processes all relevant information to achieve its goal. Rationality has two elements and these are the use of…

Artificial Intelligence · Computer Science 2019-02-14 Tshilidzi Marwala

Spin glasses are paradigmatic models that deliver concepts relevant for a variety of systems. However, rigorous analytical results are difficult to obtain for spin-glass models, in particular for realistic short-range models. Therefore…

Disordered Systems and Neural Networks · Physics 2008-02-12 Helmut G. Katzgraber

Rationality is often related to optimal decision making. Humans are known to be bounded rational agents. However, recent advances in computing, and other scientific and technical fields along with large amount of data have led to a feeling…

Computers and Society · Computer Science 2023-06-21 Dibakar Das

Rationality is frequently associated with making the best possible decisions. It's widely acknowledged that humans, as rational beings, have limitations in their decision-making capabilities. Nevertheless, recent advancements in fields,…

Computers and Society · Computer Science 2023-11-03 Dibakar Das

We propose a general learning algorithm for solving optimization problems, based on a simple strategy of trial and adaptation. The algorithm maintains a probability distribution of possible solutions (configurations), which is updated…

adap-org · Physics 2009-10-30 Kan Chen

We present a continuous nonlinear optimization model for the Spin Glass Problem (SGP), building on a classical result by Rosenberg (1972), which shows that for a class of multilinear polynomial problems the optimal values of the continuous…

Computational Physics · Physics 2025-12-08 Phil Duxbury , Carlile Lavor , Luiz Leduino de Salles-Neto

Although many investigators affirm a desire to build reasoning systems that behave consistently with the axiomatic basis defined by probability theory and utility theory, limited resources for engineering and computation can make a complete…

Artificial Intelligence · Computer Science 2013-04-11 Eric J. Horvitz

We are investigating a paradigm of instability in coalition forming among countries, which indeed is intrinsic to any collection of individual groups or other social aggregations. Coalitions among countries are formed by the respective…

Physics and Society · Physics 2015-06-12 Galina Vinogradova , Serge Galam

Nonlinear constrained optimization problems are encountered in many scientific fields. To utilize the huge calculation power of current computers, many mathematic models are also rebuilt as optimization problems. Most of them have…

Optimization and Control · Mathematics 2011-10-03 Wei Zhang , Xudong Shi , Liwen Wang

The scenario-based optimization approach (`scenario approach') provides an intuitive way of approximating the solution to chance-constrained optimization programs, based on finding the optimal solution under a finite number of sampled…

Optimization and Control · Mathematics 2025-10-02 Georg Schildbach , Lorenzo Fagiano , Manfred Morari

Limited resources motivate decomposing large-scale problems into smaller,``local" subsystems and stitching together the so-found solutions. We explore the physics underlying this approach and discuss the concept of ``local hardness", i.e.,…

Disordered Systems and Neural Networks · Physics 2025-12-24 Mutian Shen , Gerardo Ortiz , Zhiqiao Dong , Martin Weigel , Zohar Nussinov

If we have a system of binary variables and we measure the pairwise correlations among these variables, then the least structured or maximum entropy model for their joint distribution is an Ising model with pairwise interactions among the…

Disordered Systems and Neural Networks · Physics 2014-09-12 Michele Castellana , William Bialek

A class of algorithms for the solution of discrete material optimization problems in electromagnetic applications is discussed. The idea behind the algorithm is similar to that of the sequential programming. However, in each major iteration…

Optimization and Control · Mathematics 2017-07-14 Johannes Semmler , Lukas Pflug , Michael Stingl

We develop an efficient method for solving non-convex constrained optimization problems that are pervasive in economics. The optimal solution to these problems often involves randomization. We employ a Lagrangian framework and prove that…

Theoretical Economics · Economics 2026-05-07 Chengfeng Shen , Felix Kübler , Yucheng Yang , Zhennan Zhou

Many core problems in robotics can be framed as constrained optimization problems. Often on these problems, the robotic system has uncertainty, or it would be advantageous to identify multiple high quality feasible solutions. To enable…

Robotics · Computer Science 2025-06-03 Griffin Tabor , Tucker Hermans

We consider adaptive decision-making problems where an agent optimizes a cumulative performance objective by repeatedly choosing among a finite set of options. Compared to the classical prediction-with-expert-advice set-up, we consider…

Machine Learning · Computer Science 2023-04-10 Michael Muehlebach

In this paper, we make a review on the concepts of rationality across several different fields, namely in economics, psychology and evolutionary biology and behavioural ecology. We review how processes like natural selection can help us…

Artificial Intelligence · Computer Science 2018-12-03 Catarina Moreira
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