Incentives in Crowdsourcing: A Game-theoretic Approach

Size: px
Start display at page:

Download "Incentives in Crowdsourcing: A Game-theoretic Approach"

Transcription

1 Incentives in Crowdsourcing: A Game-theoretic Approach ARPITA GHOSH Cornell University NIPS 2013 Workshop on Crowdsourcing: Theory, Algorithms, and Applications Incentives in Crowdsourcing: A Game-theoretic Approach 1 / 26

2 Users on the Web: Online collective effort Contribution online from the crowds: Incentives in Crowdsourcing: A Game-theoretic Approach 2 / 26

3 Users on the Web: Online collective effort Contribution online from the crowds: Reviews (Amazon, Yelp), online Q&A sites (Y! Answers, Quora, StackOverflow), discussion forums Wikipedia Social media: Blogs, YouTube,... Incentives in Crowdsourcing: A Game-theoretic Approach 2 / 26

4 Users on the Web: Online collective effort Contribution online from the crowds: Reviews (Amazon, Yelp), online Q&A sites (Y! Answers, Quora, StackOverflow), discussion forums Wikipedia Social media: Blogs, YouTube,... Crowdsourcing: Paid and unpaid; microtasks and challenges Amazon Mechanical Turk, Citizen Science (GalaxyZoo, FoldIt), Games with a Purpose, contests (Innocentive, Topcoder) Incentives in Crowdsourcing: A Game-theoretic Approach 2 / 26

5 Users on the Web: Online collective effort Contribution online from the crowds: Reviews (Amazon, Yelp), online Q&A sites (Y! Answers, Quora, StackOverflow), discussion forums Wikipedia Social media: Blogs, YouTube,... Crowdsourcing: Paid and unpaid; microtasks and challenges Amazon Mechanical Turk, Citizen Science (GalaxyZoo, FoldIt), Games with a Purpose, contests (Innocentive, Topcoder) Online education: Peer-learning, peer-grading Incentives in Crowdsourcing: A Game-theoretic Approach 2 / 26

6 Incentives and collective effort Quality, participation varies widely across systems Incentives in Crowdsourcing: A Game-theoretic Approach 3 / 26

7 Incentives and collective effort Quality, participation varies widely across systems How to incentivize high participation and effort? Incentives in Crowdsourcing: A Game-theoretic Approach 3 / 26

8 Incentives and collective effort Quality, participation varies widely across systems How to incentivize high participation and effort? Two components to designing incentives: Social psychology: What constitutes a reward? Incentives in Crowdsourcing: A Game-theoretic Approach 3 / 26

9 Incentives and collective effort Quality, participation varies widely across systems How to incentivize high participation and effort? Two components to designing incentives: Social psychology: What constitutes a reward? Rewards are limited: How to allocate among self-interested users? A game-theoretic framework for incentive design Incentives in Crowdsourcing: A Game-theoretic Approach 3 / 26

10 The game-theoretic approach to incentive design System design induces rules specifying allocation of rewards Self-interested users choose actions to maximize own payoff Incentives in Crowdsourcing: A Game-theoretic Approach 4 / 26

11 The game-theoretic approach to incentive design System design induces rules specifying allocation of rewards Self-interested users choose actions to maximize own payoff Participation ( Endogenous entry ) Incentives in Crowdsourcing: A Game-theoretic Approach 4 / 26

12 The game-theoretic approach to incentive design System design induces rules specifying allocation of rewards Self-interested users choose actions to maximize own payoff Participation ( Endogenous entry ) Revealing information truthfully (ratings, opinions,... ) Incentives in Crowdsourcing: A Game-theoretic Approach 4 / 26

13 The game-theoretic approach to incentive design System design induces rules specifying allocation of rewards Self-interested users choose actions to maximize own payoff Participation ( Endogenous entry ) Revealing information truthfully (ratings, opinions,... ) Effort: Quality of content (UGC sites) Output accuracy (crowdsourcing) Quantity: Number of contributions, attemped tasks Speed of response (Q&A forums),... Incentive design: Allocate reward to align agent s incentives with system Incentives in Crowdsourcing: A Game-theoretic Approach 4 / 26

14 Incentive design for crowdsourcing Reward allocation problem varies across systems: Incentives in Crowdsourcing: A Game-theoretic Approach 5 / 26

15 Incentive design for crowdsourcing Reward allocation problem varies across systems: Why? Constraints, reward regimes, vary with nature of reward: Monetary; social-psychological (attention, status,... ) Attention rewards: Diverging [GM11, GH11]; subset constraints [GM12] Money-like rewards: Bounded; sum constraints [GM12] Incentives in Crowdsourcing: A Game-theoretic Approach 5 / 26

16 Incentive design for crowdsourcing Reward allocation problem varies across systems: Why? Constraints, reward regimes, vary with nature of reward: Monetary; social-psychological (attention, status,... ) Attention rewards: Diverging [GM11, GH11]; subset constraints [GM12] Money-like rewards: Bounded; sum constraints [GM12] Observability of (value of) agents output Can only reward what you can see Incentives in Crowdsourcing: A Game-theoretic Approach 5 / 26

17 Incentive design for crowdsourcing Reward allocation problem varies across systems: Why? Constraints, reward regimes, vary with nature of reward: Monetary; social-psychological (attention, status,... ) Attention rewards: Diverging [GM11, GH11]; subset constraints [GM12] Money-like rewards: Bounded; sum constraints [GM12] Observability of (value of) agents output Can only reward what you can see Perfect rank-ordering: Contests [... ] Imperfect: Noisy votes in UGC [EG13, GH13] Unobservable: Judgement elicitation [DG13] Incentives in Crowdsourcing: A Game-theoretic Approach 5 / 26

18 Learning & incentives in user-generated content Joint work with Patrick Hummel, ITCS 13 The setting: User-generated content (Reviews, Q&A forums, comments, videos, articles,... ) Quality of contributions varies widely: Incentives in Crowdsourcing: A Game-theoretic Approach 6 / 26

19 Learning & incentives in user-generated content Joint work with Patrick Hummel, ITCS 13 The setting: User-generated content (Reviews, Q&A forums, comments, videos, articles,... ) Quality of contributions varies widely: Sites want to display best contributions Incentives in Crowdsourcing: A Game-theoretic Approach 6 / 26

20 Learning & incentives in user-generated content Joint work with Patrick Hummel, ITCS 13 The setting: User-generated content (Reviews, Q&A forums, comments, videos, articles,... ) Quality of contributions varies widely: Sites want to display best contributions But quality is not directly observable: Incentives in Crowdsourcing: A Game-theoretic Approach 6 / 26

21 Learning & incentives in user-generated content Joint work with Patrick Hummel, ITCS 13 The setting: User-generated content (Reviews, Q&A forums, comments, videos, articles,... ) Quality of contributions varies widely: Sites want to display best contributions But quality is not directly observable: Infer quality from viewer votes Incentives in Crowdsourcing: A Game-theoretic Approach 6 / 26

22 Learning & incentives in user-generated content Joint work with Patrick Hummel, ITCS 13 The setting: User-generated content (Reviews, Q&A forums, comments, videos, articles,... ) Quality of contributions varies widely: Sites want to display best contributions But quality is not directly observable: Infer quality from viewer votes How to display contributions to optimize overall viewer experience? Incentives in Crowdsourcing: A Game-theoretic Approach 6 / 26

23 A multi-armed bandit problem Incentives in Crowdsourcing: A Game-theoretic Approach 7 / 26

24 A multi-armed bandit problem Learning contribution qualities: Multi-armed bandit problem Arms: Contributions Success probability: Contribution s quality Incentives in Crowdsourcing: A Game-theoretic Approach 7 / 26

25 A multi-armed bandit problem Learning contribution qualities: Multi-armed bandit problem Arms: Contributions Success probability: Contribution s quality Contributors: Agents with cost to quality, benefit from views Incentives in Crowdsourcing: A Game-theoretic Approach 7 / 26

26 A multi-armed bandit problem Learning contribution qualities: Multi-armed bandit problem Arms: Contributions Success probability: Contribution s quality Contributors: Agents with cost to quality, benefit from views Arms are endogenous! Contributors choose whether to participate, content quality Incentives in Crowdsourcing: A Game-theoretic Approach 7 / 26

27 A multi-armed bandit problem Learning contribution qualities: Multi-armed bandit problem Arms: Contributions Success probability: Contribution s quality Contributors: Agents with cost to quality, benefit from views Arms are endogenous! Contributors choose whether to participate, content quality What is a good learning algorithm in this setting? Incentives in Crowdsourcing: A Game-theoretic Approach 7 / 26

28 Overview Strategic contributors: Decide participation, quality Viewers vote on displayed contributions Mechanism: Decides which contribution to display Metric: Equilibrium regret Incentives in Crowdsourcing: A Game-theoretic Approach 8 / 26

29 Model: Content and feedback Contribution quality q: Probability of viewer upvote Incentives in Crowdsourcing: A Game-theoretic Approach 9 / 26

30 Model: Content and feedback Contribution quality q: Probability of viewer upvote Stream of T viewers: Each viewer shown, votes on, one contribution Incentives in Crowdsourcing: A Game-theoretic Approach 9 / 26

31 Model: Content and feedback Contribution quality q: Probability of viewer upvote Stream of T viewers: Each viewer shown, votes on, one contribution Viewers need not vote perfectly : q [0, γ] Incentives in Crowdsourcing: A Game-theoretic Approach 9 / 26

32 Model: Content and feedback Contribution quality q: Probability of viewer upvote Stream of T viewers: Each viewer shown, votes on, one contribution Viewers need not vote perfectly : q [0, γ] Mechanism should be robust to γ < 1 Incentives in Crowdsourcing: A Game-theoretic Approach 9 / 26

33 Contributors K = K(T ) potential contributors Incentives in Crowdsourcing: A Game-theoretic Approach 10 / 26

34 Contributors K = K(T ) potential contributors Contributors are strategic agents Incentives in Crowdsourcing: A Game-theoretic Approach 10 / 26

35 Contributors K = K(T ) potential contributors Contributors are strategic agents, choosing Whether or not to participate: Incentives in Crowdsourcing: A Game-theoretic Approach 10 / 26

36 Contributors K = K(T ) potential contributors Contributors are strategic agents, choosing Whether or not to participate: Probability β i Incentives in Crowdsourcing: A Game-theoretic Approach 10 / 26

37 Contributors K = K(T ) potential contributors Contributors are strategic agents, choosing Whether or not to participate: Probability β i Contribution quality: q i Incentives in Crowdsourcing: A Game-theoretic Approach 10 / 26

38 Contributors K = K(T ) potential contributors Contributors are strategic agents, choosing Whether or not to participate: Probability β i Contribution quality: q i Actual number of contributions (arms): k(t ) K(T ) Incentives in Crowdsourcing: A Game-theoretic Approach 10 / 26

39 Contributor utilities Cost: Quality q incurs cost c(q) c(q) increasing, continuously differentiable Incentives in Crowdsourcing: A Game-theoretic Approach 11 / 26

40 Contributor utilities Cost: Quality q incurs cost c(q) c(q) increasing, continuously differentiable Benefit from views Incentives in Crowdsourcing: A Game-theoretic Approach 11 / 26

41 Contributor utilities Cost: Quality q incurs cost c(q) c(q) increasing, continuously differentiable Benefit from views Psychological ([Huberman et al 09,... ]) or monetary benefit Incentives in Crowdsourcing: A Game-theoretic Approach 11 / 26

42 Contributor utilities Cost: Quality q incurs cost c(q) c(q) increasing, continuously differentiable Benefit from views Psychological ([Huberman et al 09,... ]) or monetary benefit ni t : Views allocated to i until period t Total benefit to i: ni T Incentives in Crowdsourcing: A Game-theoretic Approach 11 / 26

43 Contributor utilities Cost: Quality q incurs cost c(q) c(q) increasing, continuously differentiable Benefit from views Psychological ([Huberman et al 09,... ]) or monetary benefit ni t : Views allocated to i until period t Total benefit to i: ni T Mechanism: Decides which contribution to display at t Incentives in Crowdsourcing: A Game-theoretic Approach 11 / 26

44 Contributor utilities Cost: Quality q incurs cost c(q) c(q) increasing, continuously differentiable Benefit from views Psychological ([Huberman et al 09,... ]) or monetary benefit ni t : Views allocated to i until period t Total benefit to i: ni T Mechanism: Decides which contribution to display at t Utility: u i = E[n T i (q i, q i, k(t ))] c(q i ) Incentives in Crowdsourcing: A Game-theoretic Approach 11 / 26

45 Mapping to MAB K(T ) potential contributors, or arms Viewer t: Pull of arm at time t T : Time horizon or total number of viewers Content quality q i : Success probability of arm i Incentives in Crowdsourcing: A Game-theoretic Approach 12 / 26

46 Mapping to MAB K(T ) potential contributors, or arms Viewer t: Pull of arm at time t T : Time horizon or total number of viewers Content quality q i : Success probability of arm i Actual number of arms k(t ), qualities q i, determined endogenously in response to learning algorithm Incentives in Crowdsourcing: A Game-theoretic Approach 12 / 26

47 How good is a learning algorithm as a mechanism? Incentives in Crowdsourcing: A Game-theoretic Approach 13 / 26

48 How good is a learning algorithm as a mechanism? Performance measure: Equilibrium regret Incentives in Crowdsourcing: A Game-theoretic Approach 13 / 26

49 How good is a learning algorithm as a mechanism? Performance measure: Equilibrium regret Recall contributors choose q [0, γ] Incentives in Crowdsourcing: A Game-theoretic Approach 13 / 26

50 How good is a learning algorithm as a mechanism? Performance measure: Equilibrium regret Recall contributors choose q [0, γ] Strong regret of mechanism M: Incentives in Crowdsourcing: A Game-theoretic Approach 13 / 26

51 How good is a learning algorithm as a mechanism? Performance measure: Equilibrium regret Recall contributors choose q [0, γ] Strong regret of mechanism M: Regret wrt γ, Incentives in Crowdsourcing: A Game-theoretic Approach 13 / 26

52 How good is a learning algorithm as a mechanism? Performance measure: Equilibrium regret Recall contributors choose q [0, γ] Strong regret of mechanism M: Regret wrt γ, in symmetric mixed-strategy Bayes-Nash equilibrium (β, F (q)), Incentives in Crowdsourcing: A Game-theoretic Approach 13 / 26

53 How good is a learning algorithm as a mechanism? Performance measure: Equilibrium regret Recall contributors choose q [0, γ] Strong regret of mechanism M: Regret wrt γ, in symmetric mixed-strategy Bayes-Nash equilibrium (β, F (q)), T R(T ) = γt E[ q t ] t=1 Incentives in Crowdsourcing: A Game-theoretic Approach 13 / 26

54 How good is a learning algorithm as a mechanism? Performance measure: Equilibrium regret Recall contributors choose q [0, γ] Strong regret of mechanism M: Regret wrt γ, in symmetric mixed-strategy Bayes-Nash equilibrium (β, F (q)), T R(T ) = γt E[ q t ] t=1 Strong sublinear equilibrium regret: Incentives in Crowdsourcing: A Game-theoretic Approach 13 / 26

55 How good is a learning algorithm as a mechanism? Performance measure: Equilibrium regret Recall contributors choose q [0, γ] Strong regret of mechanism M: Regret wrt γ, in symmetric mixed-strategy Bayes-Nash equilibrium (β, F (q)), T R(T ) = γt E[ q t ] t=1 Strong sublinear equilibrium regret: lim T R(T ) T = 0 Incentives in Crowdsourcing: A Game-theoretic Approach 13 / 26

56 How good is a learning algorithm as a mechanism? Performance measure: Equilibrium regret Recall contributors choose q [0, γ] Strong regret of mechanism M: Regret wrt γ, in symmetric mixed-strategy Bayes-Nash equilibrium (β, F (q)), T R(T ) = γt E[ q t ] t=1 R(T ) Strong sublinear equilibrium regret: lim T T every symmetric equilibrium of M = 0 in Incentives in Crowdsourcing: A Game-theoretic Approach 13 / 26

57 The UCB algorithm, as a mechanism q t i : Estimated quality of i at time t UCB algorithm M UCB : Display all arms once, then Display i = arg max q t i + 2 ln T n t i Incentives in Crowdsourcing: A Game-theoretic Approach 14 / 26

58 The UCB algorithm, as a mechanism q t i : Estimated quality of i at time t UCB algorithm M UCB : Display all arms once, then Display i = arg max q t i + 2 ln T n t i Theorem: Mechanism M UCB always has a symmetric mixed-strategy equilibrium (β, F (q)) Incentives in Crowdsourcing: A Game-theoretic Approach 14 / 26

59 UCB as a mechanism: The good news Incentives in Crowdsourcing: A Game-theoretic Approach 15 / 26

60 UCB as a mechanism: The good news Theorem If K(T ) is such that lim T T K(T ) ln T = : Incentives in Crowdsourcing: A Game-theoretic Approach 15 / 26

61 UCB as a mechanism: The good news Theorem If K(T ) is such that lim T T K(T ) ln T = : β = 1 in any equilibria of M UCB for sufficiently large T Incentives in Crowdsourcing: A Game-theoretic Approach 15 / 26

62 UCB as a mechanism: The good news Theorem If K(T ) is such that lim T T K(T ) ln T = : β = 1 in any equilibria of M UCB for sufficiently large T For any fixed q < γ, the probability of choosing quality q q in any equilibrium goes to 0 as T. Incentives in Crowdsourcing: A Game-theoretic Approach 15 / 26

63 UCB as a mechanism: The good news Theorem If K(T ) is such that lim T T K(T ) ln T = : β = 1 in any equilibria of M UCB for sufficiently large T For any fixed q < γ, the probability of choosing quality q q in any equilibrium goes to 0 as T. M UCB achieves strong sublinear equilibrium regret. Incentives in Crowdsourcing: A Game-theoretic Approach 15 / 26

64 UCB as a mechanism: The bad news Theorem Suppose lim T T K(T ) = r <. Incentives in Crowdsourcing: A Game-theoretic Approach 16 / 26

65 UCB as a mechanism: The bad news Theorem T Suppose lim T K(T ) = r <. Then for sufficiently large T, any equilibrium has the property that no agent chooses quality greater than q = cτ 1 (1 + c(0)). Incentives in Crowdsourcing: A Game-theoretic Approach 16 / 26

66 Improving equilibrium regret: A modified UCB mechanism M UCB MOD : Run UCB on random subset of min{ T, k(t )} arms Exploring random subset: M 1 FAIL [Berry et al 97] M 1 FAIL achieves strong sublinear regret as an algorithm for large K(T ) Incentives in Crowdsourcing: A Game-theoretic Approach 17 / 26

67 Improving equilibrium regret: A modified UCB mechanism M UCB MOD : Run UCB on random subset of min{ T, k(t )} arms Exploring random subset: M 1 FAIL [Berry et al 97] M 1 FAIL achieves strong sublinear regret as an algorithm for large K(T ), but not as a mechanism Incentives in Crowdsourcing: A Game-theoretic Approach 17 / 26

68 Improving equilibrium regret: A modified UCB mechanism M UCB MOD : Run UCB on random subset of min{ T, k(t )} arms Exploring random subset: M 1 FAIL [Berry et al 97] M 1 FAIL achieves strong sublinear regret as an algorithm for large K(T ), but not as a mechanism Theorem M UCB MOD achieves strong sublinear equilibrium regret for all γ 1 and cost functions c, for all K(T ) T. Why UCB works. Incentives in Crowdsourcing: A Game-theoretic Approach 17 / 26

69 Extensions of result M UCB MOD retains strong sublinear equilibrium regret if: Each viewer is shown multiple contributions Explore min{g(t ), k(t )} arms: G(T ), G(T ) = o( T ln T ) Heterogenous types: Cost functions c τ (q) q [δ, γ], δ > 0 Incentives in Crowdsourcing: A Game-theoretic Approach 18 / 26

70 Open questions Multi-armed bandits with endogenous arms: Strong sublinear equilibrium regret achievable with modified-ucb mechanism Many unanswered questions: Models, mechanisms Probabilistic feedback Sequential contributions Quality-participation tradeoffs with G(T ) Incentives in Crowdsourcing: A Game-theoretic Approach 19 / 26

71 Open questions Multi-armed bandits with endogenous arms: Strong sublinear equilibrium regret achievable with modified-ucb mechanism Many unanswered questions: Models, mechanisms Probabilistic feedback Sequential contributions Quality-participation tradeoffs with G(T ) What learning algorithms make good mechanisms when arms are endogenous? Incentives in Crowdsourcing: A Game-theoretic Approach 19 / 26

72 Incentives in crowdsourcing: Unobservable output Crowdsourced evaluation: Replace expert by aggregated evaluation from crowd Image classification & labeling; content rating; abuse detection; MOOCs peer grading,... How to aggregate evaluations from crowd? Workers have different proficiencies; Incentives in Crowdsourcing: A Game-theoretic Approach 20 / 26

73 Incentives in crowdsourcing: Unobservable output Crowdsourced evaluation: Replace expert by aggregated evaluation from crowd Image classification & labeling; content rating; abuse detection; MOOCs peer grading,... How to aggregate evaluations from crowd? Workers have different proficiencies; possibly unknown to system: Incentives in Crowdsourcing: A Game-theoretic Approach 20 / 26

74 Incentives in crowdsourcing: Unobservable output Crowdsourced evaluation: Replace expert by aggregated evaluation from crowd Image classification & labeling; content rating; abuse detection; MOOCs peer grading,... How to aggregate evaluations from crowd? Workers have different proficiencies; possibly unknown to system: Learn, weight to maximize accuracy Incentives in Crowdsourcing: A Game-theoretic Approach 20 / 26

75 Incentives in crowdsourcing: Unobservable output Crowdsourced evaluation: Replace expert by aggregated evaluation from crowd Image classification & labeling; content rating; abuse detection; MOOCs peer grading,... How to aggregate evaluations from crowd? Workers have different proficiencies; possibly unknown to system: Learn, weight to maximize accuracy Input to aggregation problem comes from self-interested agents How to incentivize good evaluations from crowd? Incentives in Crowdsourcing: A Game-theoretic Approach 20 / 26

76 Incentives in crowdsourced evaluation Incentivizing accurate evaluations, truthful reporting: (i) Unobservable ground truth (ii) Effort-dependent accuracy (Information elicitation with endogenous proficiency) Direct monitoring infeasible: Reward agreement Incentives in Crowdsourcing: A Game-theoretic Approach 21 / 26

77 Incentives in crowdsourced evaluation Incentivizing accurate evaluations, truthful reporting: (i) Unobservable ground truth (ii) Effort-dependent accuracy (Information elicitation with endogenous proficiency) Direct monitoring infeasible: Reward agreement Problem: Undesirable low-effort/second-guessing equilibria (e.g. always say H ) Incentives in Crowdsourcing: A Game-theoretic Approach 21 / 26

78 Incentives in crowdsourced evaluation Incentivizing accurate evaluations, truthful reporting: (i) Unobservable ground truth (ii) Effort-dependent accuracy (Information elicitation with endogenous proficiency) Direct monitoring infeasible: Reward agreement Problem: Undesirable low-effort/second-guessing equilibria (e.g. always say H ) Mechanism [Dasgupta-Ghosh, WWW 13]: Maximum effort-truthful reporting is highest-payoff equilibrium! (Assuming no task-specific collusions) Use multiple tasks and ratings: Reward for agreement, Incentives in Crowdsourcing: A Game-theoretic Approach 21 / 26

79 Incentives in crowdsourced evaluation Incentivizing accurate evaluations, truthful reporting: (i) Unobservable ground truth (ii) Effort-dependent accuracy (Information elicitation with endogenous proficiency) Direct monitoring infeasible: Reward agreement Problem: Undesirable low-effort/second-guessing equilibria (e.g. always say H ) Mechanism [Dasgupta-Ghosh, WWW 13]: Maximum effort-truthful reporting is highest-payoff equilibrium! (Assuming no task-specific collusions) Use multiple tasks and ratings: Reward for agreement, but also identify and penalize blind agreement Incentives in Crowdsourcing: A Game-theoretic Approach 21 / 26

80 Moving beyond single tasks: Incentivizing overall contribution Problems so far: Incentives for single contribution/task Incentives in Crowdsourcing: A Game-theoretic Approach 22 / 26

81 Moving beyond single tasks: Incentivizing overall contribution Problems so far: Incentives for single contribution/task Rewarding contributors for overall identity: Badges, leaderboards, reputations,... Virtual rewards for cumulative contribution Gamification rewards valued by agents; contribution to earn reward is costly Badges induce mechanisms! Design affects participation, effort from users Incentives in Crowdsourcing: A Game-theoretic Approach 22 / 26

82 Moving beyond single tasks: Incentivizing overall contribution Problems so far: Incentives for single contribution/task Rewarding contributors for overall identity: Badges, leaderboards, reputations,... Virtual rewards for cumulative contribution Gamification rewards valued by agents; contribution to earn reward is costly Badges induce mechanisms! Design affects participation, effort from users Incentives in Crowdsourcing: A Game-theoretic Approach 22 / 26

83 Badges and incentive design Different badge designs online: Absolute milestone badges (StackOverflow, Foursquare), versus competitive top-contributor badges (Y!Answers, Tripadvisor) Information about badge winners (StackOverflow vs Y! Answers) Incentives in Crowdsourcing: A Game-theoretic Approach 23 / 26

84 Badges and incentive design Different badge designs online: Absolute milestone badges (StackOverflow, Foursquare), versus competitive top-contributor badges (Y!Answers, Tripadvisor) Information about badge winners (StackOverflow vs Y! Answers) What incentives do different badge designs create for participation and effort? Results Game-theoretic analysis of badge design (Easley & Ghosh, ACM EC 13) Absolute or competitive badges? Competitive badges: Fixed number or fraction of participants? Visibility of information: Transparent or not? Incentives in Crowdsourcing: A Game-theoretic Approach 23 / 26

85 Wrapping up Incentive design for crowdsourcing Data, inputs to algorithms come from self-interested agents Mechanisms rather than algorithms: A game-theoretic framework Incentives in Crowdsourcing: A Game-theoretic Approach 24 / 26

86 Wrapping up Incentive design for crowdsourcing Data, inputs to algorithms come from self-interested agents Mechanisms rather than algorithms: A game-theoretic framework Lots more to understand! Sequential decision making Eliciting effort with strategic contributors and raters Incentives in Crowdsourcing: A Game-theoretic Approach 24 / 26

87 Wrapping up Incentive design for crowdsourcing Data, inputs to algorithms come from self-interested agents Mechanisms rather than algorithms: A game-theoretic framework Lots more to understand! Sequential decision making Eliciting effort with strategic contributors and raters Overall contributor rewards; sustaining contribution Learning and incentives: Designing reputations Incentives in Crowdsourcing: A Game-theoretic Approach 24 / 26

88 Wrapping up Incentive design for crowdsourcing Data, inputs to algorithms come from self-interested agents Mechanisms rather than algorithms: A game-theoretic framework Lots more to understand! Sequential decision making Eliciting effort with strategic contributors and raters Overall contributor rewards; sustaining contribution Learning and incentives: Designing reputations Experimental and empirical: What do agents value, and how? Incentives in Crowdsourcing: A Game-theoretic Approach 24 / 26

89 Why M UCB MOD works Lemma Any arm with quality q i q max (T ) δ receives Θ(ln T ) attention in expectation for all δ > 0 Theorem q max (T ): Highest-quality explored contribution A purely algorithmic statement; proof by contradiction For any fixed q < γ, the probability that there is some agent explored by M UCB MOD who chooses quality q > q goes to 1 as T in every equilibrium of M UCB MOD. Proof by contradiction: Demonstrate profitable deviation (Involves strategic reasoning, not purely algorithmic) Back to UCB Incentives in Crowdsourcing: A Game-theoretic Approach 25 / 26

90 Badges and incentive design: An economic framework (Easley & Ghosh, ACM EC 13) Conclusion Design recommendations from analysis: Competitive badges: Reward fixed number, not fraction of competitors Absolute versus competitive badges equivalent if population parameters known With uncertainty, or unknown parameters, competitive badges more robust Sharing information about other users performance: Depends on convexity of value as function of winners Incentives in Crowdsourcing: A Game-theoretic Approach 26 / 26

Incentivizing High Quality User Contributions: New Arm Generation in Bandit Learning

Incentivizing High Quality User Contributions: New Arm Generation in Bandit Learning Incentivizing High Quality User Contributions: New Arm Generation in Bandit Learning Yang Liu yangl@seas.harvard.edu Harvard University Chien-Ju Ho chienju.ho@wustl.edu Washington University in St. Louis

More information

Incentivizing High Quality User Contributions: New Arm Generation in Bandit Learning

Incentivizing High Quality User Contributions: New Arm Generation in Bandit Learning Incentivizing High Quality User Contributions: New Arm Generation in Bandit Learning Yang Liu yangl@seas.harvard.edu Harvard University Chien-Ju Ho chienju.ho@wustl.edu Washington University in St. Louis

More information

Price of anarchy in auctions & the smoothness framework. Faidra Monachou Algorithmic Game Theory 2016 CoReLab, NTUA

Price of anarchy in auctions & the smoothness framework. Faidra Monachou Algorithmic Game Theory 2016 CoReLab, NTUA Price of anarchy in auctions & the smoothness framework Faidra Monachou Algorithmic Game Theory 2016 CoReLab, NTUA Introduction: The price of anarchy in auctions COMPLETE INFORMATION GAMES Example: Chicken

More information

Crowdsourcing Contests

Crowdsourcing Contests Crowdsourcing Contests Ruggiero Cavallo Microsoft Research NYC CS286r: November 5, 2012 What is crowdsourcing (for today)? Principal seeks production of a good; multiple agents produce; principal obtains

More information

Game Theory & Firms. Jacob LaRiviere & Justin Rao April 20, 2016 Econ 404, Spring 2016

Game Theory & Firms. Jacob LaRiviere & Justin Rao April 20, 2016 Econ 404, Spring 2016 Game Theory & Firms Jacob LaRiviere & Justin Rao April 20, 2016 Econ 404, Spring 2016 What is Game Theory? Game Theory Intuitive Definition: Theory of strategic interaction Technical Definition: Account

More information

Games, Auctions, Learning, and the Price of Anarchy. Éva Tardos Cornell University

Games, Auctions, Learning, and the Price of Anarchy. Éva Tardos Cornell University Games, Auctions, Learning, and the Price of Anarchy Éva Tardos Cornell University Games and Quality of Solutions Rational selfish action can lead to outcome bad for everyone Tragedy of the Commons Model:

More information

Data Mining. CS57300 Purdue University. March 27, 2018

Data Mining. CS57300 Purdue University. March 27, 2018 Data Mining CS57300 Purdue University March 27, 2018 1 Recap last class So far we have seen how to: Test a hypothesis in batches (A/B testing) Test multiple hypotheses (Paul the Octopus-style) 2 The New

More information

Incentives and Truthful Reporting in Consensus-centric Crowdsourcing

Incentives and Truthful Reporting in Consensus-centric Crowdsourcing Incentives and Truthful Reporting in Consensus-centric Crowdsourcing Ece Kamar, Eric Horvitz {eckamar,horvitz}@microsoft.com February 2012 Technical Report MSR-TR-2012-16 We address the challenge in crowdsourcing

More information

Copyright (C) 2001 David K. Levine This document is an open textbook; you can redistribute it and/or modify it under the terms of version 1 of the

Copyright (C) 2001 David K. Levine This document is an open textbook; you can redistribute it and/or modify it under the terms of version 1 of the Copyright (C) 2001 David K. Levine This document is an open textbook; you can redistribute it and/or modify it under the terms of version 1 of the open text license amendment to version 2 of the GNU General

More information

Efficiency and Robustness of Binary Online Feedback Mechanisms in Trading Environments with Moral Hazard

Efficiency and Robustness of Binary Online Feedback Mechanisms in Trading Environments with Moral Hazard Efficiency and Robustness of Binary Online Feedback Mechanisms in Trading Environments with Moral Hazard Chris Dellarocas MIT Sloan School of Management dell@mit.edu Introduction and Motivation Outline

More information

On Optimal Multidimensional Mechanism Design

On Optimal Multidimensional Mechanism Design On Optimal Multidimensional Mechanism Design YANG CAI, CONSTANTINOS DASKALAKIS and S. MATTHEW WEINBERG Massachusetts Institute of Technology We solve the optimal multi-dimensional mechanism design problem

More information

Machine learning for Dynamic Social Network Analysis

Machine learning for Dynamic Social Network Analysis Machine learning for Dynamic Social Network Analysis Applications: Control Manuel Gomez Rodriguez Max Planck Institute for Software Systems IIT HYDERABAD, DECEMBER 2017 Outline of the Seminar REPRESENTATION:

More information

Practical Peer Prediction for Peer Assessment Victor Shnayder and David C. Parkes Harvard University

Practical Peer Prediction for Peer Assessment Victor Shnayder and David C. Parkes Harvard University Practical Peer Prediction for Peer Assessment Victor Shnayder and David C. Parkes Harvard University Oct 31, 2016 HCOMP 16 1 Motivation: MOOCs 2 Code... Learn to Write MOOCs Design Speak online for free.

More information

Quality Expectation-Variance Tradeoffs in Crowdsourcing Contests

Quality Expectation-Variance Tradeoffs in Crowdsourcing Contests Proceedings of the Twenty-Sixth AAAI Conference on Artificial Intelligence Quality Expectation-Variance Tradeoffs in Crowdsourcing Contests Xi Alice Gao Harvard SEAS xagao@seas.harvard.edu Yoram Bachrach

More information

Intro to Algorithmic Economics, Fall 2013 Lecture 1

Intro to Algorithmic Economics, Fall 2013 Lecture 1 Intro to Algorithmic Economics, Fall 2013 Lecture 1 Katrina Ligett Caltech September 30 How should we sell my old cell phone? What goals might we have? Katrina Ligett, Caltech Lecture 1 2 How should we

More information

A Reinforcement Learning Framework for Eliciting High Quality Information

A Reinforcement Learning Framework for Eliciting High Quality Information A Reinforcement Learning Framework for Eliciting High Quality Information Zehong Hu 1,2, Yang Liu 3, Yitao Liang 4 and Jie Zhang 2 1 Rolls-Royce@NTU Corporate Lab, Nanyang Technological University, Singapore

More information

INTERMEDIATE MICROECONOMICS (EC201)

INTERMEDIATE MICROECONOMICS (EC201) INTERMEDIATE MICROECONOMICS (EC201) Course duration: 54 hours lecture and class time (Over three weeks) Summer School Programme Area: Economics LSE Teaching Department: Department of Economics Lead Faculty:

More information

Algorithmic Mechanisms for Internet-based Master-Worker Computing with Untrusted and Selfish Workers

Algorithmic Mechanisms for Internet-based Master-Worker Computing with Untrusted and Selfish Workers Algorithmic Mechanisms for Internet-based Master-Worker Computing with Untrusted and Selfish Workers Antonio Fernández Anta 1 Chryssis Georgiou 2 Miguel A. Mosteiro 1,3 1 LADyR, GSyC, Universidad Rey Juan

More information

CS246: Mining Massive Datasets Jure Leskovec, Stanford University

CS246: Mining Massive Datasets Jure Leskovec, Stanford University CS246: Mining Massive Datasets Jure Leskovec, Stanford University http://cs246.stanford.edu Web advertising We discussed how to match advertisers to queries in real- time But we did not discuss how to

More information

Incentives in Crowdsourcing

Incentives in Crowdsourcing Incentives in Crowdsourcing Troy Kravitz 1 University of California, San Diego June 11, 2011 1 Joint with J. Aislinn Bohren, UCSD Kravitz (UCSD) Crowdsourcing Incentives June 11, 2011 1 / 14 Fixing Ideas

More information

Mazzeo (RAND 2002) Seim (RAND 2006) Grieco (RAND 2014) Discrete Games. Jonathan Williams 1. 1 UNC - Chapel Hill

Mazzeo (RAND 2002) Seim (RAND 2006) Grieco (RAND 2014) Discrete Games. Jonathan Williams 1. 1 UNC - Chapel Hill Discrete Games Jonathan Williams 1 1 UNC - Chapel Hill Mazzeo (RAND 2002) - Introduction As far back as Hotelling (1929), firms tradeoff intensity of competition against selection of product with strongest

More information

MERITOCRACY AS A MECHANISM IN THE CONTEXT OF VOLUNTARY CONTRIBUTION GAMES

MERITOCRACY AS A MECHANISM IN THE CONTEXT OF VOLUNTARY CONTRIBUTION GAMES MERITOCRACY AS A MECHANISM IN THE CONTEXT OF VOLUNTARY CONTRIBUTION GAMES HEINRICH H. NAX (HNAX@ETHZ.CH) COSS, ETH ZURICH MAY 26, 2015 BUT BEFORE WE BEGIN Let us clarify some basic ingredients of the course:

More information

Imperfect Price Information and Competition

Imperfect Price Information and Competition mperfect Price nformation and Competition Sneha Bakshi April 14, 2016 Abstract Price competition depends on prospective buyers information regarding market prices. This paper illustrates that if buyers

More information

CMSC 474, Introduction to Game Theory Analyzing Normal-Form Games

CMSC 474, Introduction to Game Theory Analyzing Normal-Form Games CMSC 474, Introduction to Game Theory Analyzing Normal-Form Games Mohammad T. Hajiaghayi University of Maryland Some Comments about Normal-Form Games Only two kinds of strategies in the normal-form game

More information

arxiv: v2 [cs.gt] 5 May 2017

arxiv: v2 [cs.gt] 5 May 2017 Incentives for Truthful Evaluations arxiv:1608.07886v2 [cs.gt] 5 May 2017 Luca de Alfaro luca@ucsc.edu, m.faella@unita.it Computer Science Department University of California Santa Cruz, CA, 95064, USA

More information

Oligopoly: How do firms behave when there are only a few competitors? These firms produce all or most of their industry s output.

Oligopoly: How do firms behave when there are only a few competitors? These firms produce all or most of their industry s output. Topic 8 Chapter 13 Oligopoly and Monopolistic Competition Econ 203 Topic 8 page 1 Oligopoly: How do firms behave when there are only a few competitors? These firms produce all or most of their industry

More information

Online shopping and platform design with ex ante registration requirements

Online shopping and platform design with ex ante registration requirements Online shopping and platform design with ex ante registration requirements O A Florian Morath Johannes Münster June 17, 2016 This supplementary appendix to the article Online shopping and platform design

More information

ECN 3103 INDUSTRIAL ORGANISATION

ECN 3103 INDUSTRIAL ORGANISATION ECN 3103 INDUSTRIAL ORGANISATION 5. Game Theory Mr. Sydney Armstrong Lecturer 1 The University of Guyana 1 Semester 1, 2016 OUR PLAN Analyze Strategic price and Quantity Competition (Noncooperative Oligopolies)

More information

University of California, Davis Date: June 24, PRELIMINARY EXAMINATION FOR THE Ph.D. DEGREE. Answer four questions (out of five)

University of California, Davis Date: June 24, PRELIMINARY EXAMINATION FOR THE Ph.D. DEGREE. Answer four questions (out of five) University of California, Davis Date: June 24, 203 Department of Economics Time: 5 hours Microeconomics Reading Time: 20 minutes PREIMINARY EXAMINATION FOR THE Ph.D. DEGREE Answer four questions (out of

More information

MOT Seminar. John Musacchio 4/16/09

MOT Seminar. John Musacchio 4/16/09 Game Theory MOT Seminar John Musacchio johnm@soe.ucsc.edu 4/16/09 1 Who am I? John Musacchio Assistant Professor in ISTM Joined January 2005 PhD from Berkeley in Electrical l Engineering i Research Interests

More information

Newspapers. Joel Sobel. Mullainathan- Shleifer. Newspapers. Gentzkow- Shapiro. Ellman and Germano. Posner. Joel Sobel. UCSD and UAB.

Newspapers. Joel Sobel. Mullainathan- Shleifer. Newspapers. Gentzkow- Shapiro. Ellman and Germano. Posner. Joel Sobel. UCSD and UAB. UCSD and UAB 15 February 2007 ISSUES What do papers sell? Origin and Persistence of Bias? Does Competition Improve Outcomes? Relevance: Production and Consumption of Information in Group Environments.

More information

Hidden Actions Analysis in p2p Systems

Hidden Actions Analysis in p2p Systems December 6, 2009 1 Introduction 2 Model 3 Analysis 4 Results Currency Based Incentive Peers would earn currency by contributing resources, and spend currency to obtain resources. e.g. MojoNation, Karma

More information

Game theory (Sections )

Game theory (Sections ) Game theory (Sections 17.5-17.6) Game theory Game theory deals with systems of interacting agents where the outcome for an agent depends on the actions of all the other agents Applied in sociology, politics,

More information

Harvard University Department of Economics

Harvard University Department of Economics Harvard University Department of Economics General Examination in Microeconomic Theory Spring 00. You have FOUR hours. Part A: 55 minutes Part B: 55 minutes Part C: 60 minutes Part D: 70 minutes. Answer

More information

Optimal Shill Bidding in the VCG Mechanism

Optimal Shill Bidding in the VCG Mechanism Itai Sher University of Minnesota June 5, 2009 An Auction for Many Goods Finite collection N of goods. Finite collection I of bidders. A package Z is a subset of N. v i (Z) = bidder i s value for Z. Free

More information

David Easley and Jon Kleinberg November 29, 2010

David Easley and Jon Kleinberg November 29, 2010 Networks: Spring 2010 Practice Final Exam David Easley and Jon Kleinberg November 29, 2010 The final exam is Friday, December 10, 2:00-4:30 PM in Barton Hall (Central section). It will be a closed-book,

More information

PERFORMANCE, PROCESS, AND DESIGN STANDARDS IN ENVIRONMENTAL REGULATION

PERFORMANCE, PROCESS, AND DESIGN STANDARDS IN ENVIRONMENTAL REGULATION PERFORMANCE, PROCESS, AND DESIGN STANDARDS IN ENVIRONMENTAL REGULATION BRENT HUETH AND TIGRAN MELKONYAN Abstract. This papers analyzes efficient regulatory design of a polluting firm who has two kinds

More information

Multi armed Bandits on the Web

Multi armed Bandits on the Web Multi armed Bandits on the Web Successes, Lessons and Challenges Lihong Li Microsoft Research 08/24/2014 2 nd Workshop on User Engagement Optimization (KDD 14) BIG DATA correlation Statistics, ML, DM,

More information

Crowdsourcing with All-pay Auctions: a Field Experiment on Taskcn

Crowdsourcing with All-pay Auctions: a Field Experiment on Taskcn Crowdsourcing with All-pay Auctions: a Field Experiment on Taskcn Tracy Xiao Liu Jiang Yang Lada A. Adamic Yan Chen May 27, 2011 Abstract We investigate the effects of various design features of all-pay

More information

Buyer Heterogeneity and Dynamic Sorting in Markets for Durable Lemons

Buyer Heterogeneity and Dynamic Sorting in Markets for Durable Lemons Buyer Heterogeneity and Dynamic Sorting in Markets for Durable Lemons Santanu Roy Southern Methodist University, Dallas, Texas. October 13, 2011 Abstract In a durable good market where sellers have private

More information

VALUE OF SHARING DATA

VALUE OF SHARING DATA VALUE OF SHARING DATA PATRICK HUMMEL* FEBRUARY 12, 2018 Abstract. This paper analyzes whether advertisers would be better off using data that would enable them to target users more accurately if the only

More information

Sustaining Cooperation in Social Exchange Networks with Incomplete Global Information

Sustaining Cooperation in Social Exchange Networks with Incomplete Global Information 51st IEEE Conference on Decision and Control December 1-13, 212. Maui, Hawaii, USA Sustaining Cooperation in Social Exchange Networks with Incomplete Global Information Jie Xu and Mihaela van der Schaar

More information

CS269I: Incentives in Computer Science Lecture #6: Incentivizing Participation

CS269I: Incentives in Computer Science Lecture #6: Incentivizing Participation CS269I: Incentives in Computer Science Lecture #6: Incentivizing Participation Tim Roughgarden October 12, 2016 1 Some Simple Models of Participation Last lecture, we discussed the broken incentives in

More information

Matching Markets with Endogenous Information

Matching Markets with Endogenous Information Matching Markets with Endogenous Information Tracy Lewis Duke University Li, Hao University of British Columbia Matching Problems in Chicago 2012 Lewis and Li Endogenous Matching 1 Introduction: Motivation

More information

OPEC CARTEL BEHAVIOR: WHAT IS THEIR OBJECTIVE AND WHAT MAY HAPPEN NOW?

OPEC CARTEL BEHAVIOR: WHAT IS THEIR OBJECTIVE AND WHAT MAY HAPPEN NOW? OPEC CARTEL BEHAVIOR: WHAT IS THEIR OBJECTIVE AND WHAT MAY HAPPEN NOW? Peter Volkmar Rice University 19 June 2016 Is OPEC a Cartel? Is this a good question? Let s assume it is a cartel and see, given underlying

More information

a study on Robust Mechanisms for Social Coordination

a study on Robust Mechanisms for Social Coordination a study on Robust Mechanisms for Social Coordination Philip N. Brown and Jason R. Marden University of California, Santa Barbara CDC Workshop: Distributed Autonomy and Human-Machine Networks December 14,

More information

Pricing in Dynamic Advance Reservation Games

Pricing in Dynamic Advance Reservation Games Pricing in Dynamic Advance Reservation Games Eran Simhon, Carrie Cramer, Zachary Lister and David Starobinski College of Engineering, Boston University, Boston, MA 02215 Abstract We analyze the dynamics

More information

Estimating Bidders Valuation Distributions in Online Auctions

Estimating Bidders Valuation Distributions in Online Auctions Estimating Bidders Valuation Distributions in Online Auctions Albert Xin Jiang, Kevin Leyton-Brown Department of Computer Science University of British Columbia Bidding Agents Given a valuation function,

More information

ECONS 424 STRATEGY AND GAME THEORY MIDTERM EXAM #2

ECONS 424 STRATEGY AND GAME THEORY MIDTERM EXAM #2 ECONS 424 STRATEGY AND GAME THEORY MIDTERM EXAM #2 DUE DATE: MONDAY, APRIL 9 TH 2018, IN CLASS Instructions: This exam has 6 exercises, plus a bonus exercise at the end. Write your answers to each exercise

More information

PRICE OF ANARCHY: QUANTIFYING THE INEFFICIENCY OF EQUILIBRIA. Zongxu Mu

PRICE OF ANARCHY: QUANTIFYING THE INEFFICIENCY OF EQUILIBRIA. Zongxu Mu PRICE OF ANARCHY: QUANTIFYING THE INEFFICIENCY OF EQUILIBRIA Zongxu Mu The Invisible Hand Equilibria and Efficiency Central to free market economics The Wealth of Nations (Smith, 1776) led by an invisible

More information

Where are we? Knowledge Engineering Semester 2, Basic Considerations. Decision Theory

Where are we? Knowledge Engineering Semester 2, Basic Considerations. Decision Theory H T O F E E U D N I I N V E B R U S R I H G Knowledge Engineering Semester 2, 2004-05 Michael Rovatsos mrovatso@inf.ed.ac.uk Lecture 13 Distributed Rational Decision-Making 25th February 2005 T Y Where

More information

FIRST FUNDAMENTAL THEOREM OF WELFARE ECONOMICS

FIRST FUNDAMENTAL THEOREM OF WELFARE ECONOMICS FIRST FUNDAMENTAL THEOREM OF WELFARE ECONOMICS SICONG SHEN Abstract. Markets are a basic tool for the allocation of goods in a society. In many societies, markets are the dominant mode of economic exchange.

More information

Lecture 1:Human Capital Theory. September 27, 2017 Hideo Owan Institute of Social Science

Lecture 1:Human Capital Theory. September 27, 2017 Hideo Owan Institute of Social Science Lecture 1:Human Capital Theory September 27, 2017 Hideo Owan Institute of Social Science What is Organizational/Personnel Economics? 1. Key Component 1: Human Capital Theory + Heterogeneous skills/tasks

More information

Prizes and Patents: Using Market Signals to Provide Incentives for Innovations

Prizes and Patents: Using Market Signals to Provide Incentives for Innovations Federal Reserve Bank of Minneapolis Research Department Prizes and Patents: Using Market Signals to Provide Incentives for Innovations V. V. Chari, Mikhail Golosov, and Aleh Tsyvinski Working Paper October

More information

IEEE TRANSACTIONS ON WIRELESS COMMUNICATIONS, VOL., NO., 1. Dynamic Spectrum Sharing Auction with Time-Evolving Channel Qualities

IEEE TRANSACTIONS ON WIRELESS COMMUNICATIONS, VOL., NO., 1. Dynamic Spectrum Sharing Auction with Time-Evolving Channel Qualities IEEE TRANSACTIONS ON WIRELESS COMMUNICATIONS, VOL., NO., 1 Dynamic Spectrum Sharing Auction with Time-Evolving Channel Qualities Mehrdad Khaledi, Student Member, IEEE, Alhussein A. Abouzeid, Senior Member,

More information

TOPIC 4. ADVERSE SELECTION, SIGNALING, AND SCREENING

TOPIC 4. ADVERSE SELECTION, SIGNALING, AND SCREENING TOPIC 4. ADVERSE SELECTION, SIGNALING, AND SCREENING In many economic situations, there exists asymmetric information between the di erent agents. Examples are abundant: A seller has better information

More information

Online shopping and platform design with ex ante registration requirements. Online Appendix

Online shopping and platform design with ex ante registration requirements. Online Appendix Online shopping and platform design with ex ante registration requirements Online Appendix June 7, 206 This supplementary appendix to the article Online shopping and platform design with ex ante registration

More information

STABILITY AND WELFARE OF MERITOCRATIC GROUP-BASED MECHANISMS

STABILITY AND WELFARE OF MERITOCRATIC GROUP-BASED MECHANISMS STABILITY AND WELFARE OF MERITOCRATIC GROUP-BASED MECHANISMS HEINRICH H. NAX (HNAX@ETHZ.CH) MAY 5, 25 SNI CONFERENCE @ MONTE VERITA SOURCES joint work with Stefano Balietti Dirk Helbing Ryan Murphy two

More information

Review from last. Econ 2230: Public Economics. Outline. 1. Dominant strategy implementation. Lecture 9: Mechanism Design lab evidence

Review from last. Econ 2230: Public Economics. Outline. 1. Dominant strategy implementation. Lecture 9: Mechanism Design lab evidence Review from last Mechanism design objective: how can we get people to truthfully reveal how much they like the public good such that we secure efficient provision Over reporting if no consequences of the

More information

Active Learning for Conjoint Analysis

Active Learning for Conjoint Analysis Peter I. Frazier Shane G. Henderson snp32@cornell.edu pf98@cornell.edu sgh9@cornell.edu School of Operations Research and Information Engineering Cornell University November 1, 2015 Learning User s Preferences

More information

Managing Decentralized Inventory and Transhipment

Managing Decentralized Inventory and Transhipment Managing Decentralized Inventory and Transhipment Moshe Dror mdror@eller.arizona.edu Nichalin Suakkaphong nichalin@email.arizona.edu Department of MIS University of Arizona Fleet Size Mix and Inventory

More information

Part II. Market power

Part II. Market power Part II. Market power Chapter 3. Static imperfect competition Slides Industrial Organization: Markets and Strategies Paul Belleflamme and Martin Peitz Cambridge University Press 2009 Introduction to Part

More information

Dynamic Learning in Strategic Pricing Games

Dynamic Learning in Strategic Pricing Games Dynamic Learning in Strategic Pricing Games John R. Birge Matt Stern The University of Chicago Booth School of Business JRBirge Cornell University, October 2015 1 Situation How to Price and Learn? New

More information

Test Codes: QEA and QEB (Both are of 'Descriptive' type) (Junior Research Fellowship in Quantitative Economics)

Test Codes: QEA and QEB (Both are of 'Descriptive' type) (Junior Research Fellowship in Quantitative Economics) Test Codes: QEA and QEB (Both are of 'Descriptive' type) (Junior Research Fellowship in Quantitative Economics) The candidates for Junior Research Fellowship in Quantitative Economics are required to take

More information

Reaction Paper Influence Maximization in Social Networks: A Competitive Perspective

Reaction Paper Influence Maximization in Social Networks: A Competitive Perspective Reaction Paper Influence Maximization in Social Networks: A Competitive Perspective Siddhartha Nambiar October 3 rd, 2013 1 Introduction Social Network Analysis has today fast developed into one of the

More information

Matching: The Theory. Muriel Niederle Stanford and NBER. October 5, 2011

Matching: The Theory. Muriel Niederle Stanford and NBER. October 5, 2011 Matching: The Theory Muriel Niederle Stanford and NBER October 5, 2011 NRMP match variations: Couples: Submit rank oders over pairs of programs, and must be matched to two positions Applicants who match

More information

1.. Consider the following multi-stage game. In the first stage an incumbent monopolist

1.. Consider the following multi-stage game. In the first stage an incumbent monopolist University of California, Davis Department of Economics Time: 3 hours Reading time: 20 minutes PRELIMINARY EXAMINATION FOR THE Ph.D. DEGREE Industrial Organization June 27, 2006 Answer four of the six

More information

Sponsored Search Markets

Sponsored Search Markets COMP323 Introduction to Computational Game Theory Sponsored Search Markets Paul G. Spirakis Department of Computer Science University of Liverpool Paul G. Spirakis (U. Liverpool) Sponsored Search Markets

More information

The Price of Anarchy in an Exponential Multi-Server

The Price of Anarchy in an Exponential Multi-Server The Price of Anarchy in an Exponential Multi-Server Moshe Haviv Tim Roughgarden Abstract We consider a single multi-server memoryless service station. Servers have heterogeneous service rates. Arrivals

More information

Equilibrium Analysis of Dynamic Bidding in Sponsored Search Auctions

Equilibrium Analysis of Dynamic Bidding in Sponsored Search Auctions Equilibrium Analysis of Dynamic Bidding in Sponsored Search Auctions Yevgeniy Vorobeychik Computer Science & Engineering University of Michigan yvorobey@umich.edu Daniel M. Reeves Microeconomics & Social

More information

Simple Market Equilibria with Rationally Inattentive Consumers

Simple Market Equilibria with Rationally Inattentive Consumers Simple Market Equilibria with Rationally Inattentive Consumers Filip Matějka and Alisdair McKay January 16, 2012 Prepared for American Economic Review Papers and Proceedings Abstract We study a market

More information

Does Signaling Solve the Lemons Problem? Timothy Perri * March 31, Abstract

Does Signaling Solve the Lemons Problem? Timothy Perri * March 31, Abstract Does Signaling Solve the Lemons Problem? by Timothy Perri * March 31, 2015 Abstract Maybe. Lemons and signaling models generally deal with different welfare problems, the former with withdrawal of high

More information

Department of Economics. Harvard University. Spring Honors General Exam. April 6, 2011

Department of Economics. Harvard University. Spring Honors General Exam. April 6, 2011 Department of Economics. Harvard University. Spring 2011 Honors General Exam April 6, 2011 The exam has three sections: microeconomics (Questions 1 3), macroeconomics (Questions 4 6), and econometrics

More information

Topics in ALGORITHMIC GAME THEORY *

Topics in ALGORITHMIC GAME THEORY * Topics in ALGORITHMIC GAME THEORY * Spring 2012 Prof: Evdokia Nikolova * Based on slides by Prof. Costis Daskalakis Let s play: game theory society sign Let s play: Battle of the Sexes Theater Football

More information

Lecture 4: Will profits in reality be higher or lower than under Cournot? Tom Holden

Lecture 4: Will profits in reality be higher or lower than under Cournot? Tom Holden Lecture 4: Will profits in reality be higher or lower than under Cournot? Tom Holden http://io.tholden.org/ Q p = 1 p. Two firms both with zero marginal costs. Proportional rationing: Residual demand facing

More information

Inefficiency of Equilibria in Task Allocation by Crowdsourcing

Inefficiency of Equilibria in Task Allocation by Crowdsourcing Inefficiency of Equilibria in Task Allocation by Crowdsourcing Shigeo Matsubara Department of Social Informatics, Kyoto University matsubara@i.kyotou.ac.jp Masanori Hatanaka Department of Social Informatics,

More information

Monitoring and Collusion with Soft Information

Monitoring and Collusion with Soft Information 434 JLEO, V15 N2 Monitoring and Collusion with Soft Information Sandeep Baliga Northwestern University In the standard principal-supervisor-agent model with collusion, Tirole (1986) shows that employing

More information

The origins of an equilibrium wage distribution. Ofer Cornfeld. June 2013

The origins of an equilibrium wage distribution. Ofer Cornfeld. June 2013 The origins of an equilibrium wage distribution Ofer Cornfeld Tel-Aviv University (TAU) June 2013 The empirical attributes of the earnings distribution, Neal and Rosen (2000): "Earnings distributions...

More information

Distributed Optimization

Distributed Optimization Distributed Optimization (Based on Shoham and Leyton-Brown (2008). Multiagent Systems: Algorithmic, Game-Theoretic, and Logical Foundations, Cambridge.) Leen-Kiat Soh Introduction How can agents, in a

More information

Approximation in Algorithmic Game Theory

Approximation in Algorithmic Game Theory Approximation in Algorithmic Game Theory Robust Approximation Bounds for Equilibria and Auctions Tim Roughgarden Stanford University 1 Motivation Clearly: many modern applications in CS involve autonomous,

More information

Competitive Franchising

Competitive Franchising Brett Graham and Dan Bernhardt University of Illinois, Urbana-Champaign 2008 North American Summer Meeting of the Econometric Society Motivation What happens when firms compete using both prices and franchise

More information

Markets and Values. The Evolution of Intrinsic Motivation. Tim Besley and Maitreesh Ghatak. November 2015

Markets and Values. The Evolution of Intrinsic Motivation. Tim Besley and Maitreesh Ghatak. November 2015 Markets and Values The Evolution of Intrinsic Motivation Tim Besley and Maitreesh Ghatak November 2015 Besley & Ghatak (LSE) Markets and Values November 2015 1 / 26 Motivation Many commentators e.g. Durkheim,

More information

Social Computing Systems

Social Computing Systems Social Computing Systems Walter S. Lasecki EECS 498, Winter 2017 (http://tiny.cc/socsclass) Today Human computation and crowdsourcing (Intro) Crowdsourcing platforms Definitions (warning: terms not always

More information

Bilateral and Multilateral Exchanges for Peer-Assisted Content Distribution

Bilateral and Multilateral Exchanges for Peer-Assisted Content Distribution 1290 IEEE/ACM TRANSACTIONS ON NETWORKING, VOL. 19, NO. 5, OCTOBER 2011 Bilateral and Multilateral Exchanges for Peer-Assisted Content Distribution Christina Aperjis, Ramesh Johari, Member, IEEE, and Michael

More information

Incentive-Compatible Mechanisms for Norm Monitoring in Open Multi-Agent Systems (Extended Abstract)

Incentive-Compatible Mechanisms for Norm Monitoring in Open Multi-Agent Systems (Extended Abstract) Incentive-Compatible Mechanisms for Norm Monitoring in Open Multi-Agent Systems (Extended Abstract) Natasha Alechina 1, Joseph Y. Halpern 2,Ian A. Kash 3 and Brian Logan 1 1 University of Nottingham 2

More information

Incentive-Compatible Mechanisms for Norm Monitoring in Open Multi-Agent Systems (Extended Abstract)

Incentive-Compatible Mechanisms for Norm Monitoring in Open Multi-Agent Systems (Extended Abstract) Incentive-Compatible Mechanisms for Norm Monitoring in Open Multi-Agent Systems (Extended Abstract) Natasha Alechina 1, Joseph Y. Halpern 2,Ian A. Kash 3 and Brian Logan 1 1 University of Nottingham 2

More information

Best-response functions, best-response curves. Strategic substitutes, strategic complements. Quantity competition, price competition

Best-response functions, best-response curves. Strategic substitutes, strategic complements. Quantity competition, price competition Strategic Competition: An overview The economics of industry studying activities within an industry. Basic concepts from game theory Competition in the short run Best-response functions, best-response

More information

Algoritmi Distribuiti e Reti Complesse (modulo II) Luciano Gualà

Algoritmi Distribuiti e Reti Complesse (modulo II) Luciano Gualà Algoritmi Distribuiti e Reti Complesse (modulo II) Luciano Gualà guala@mat.uniroma2.it www.mat.uniroma2.it/~guala Algorithmic Game Theory Algorithmic Issues in Non-cooperative (i.e., strategic) Distributed

More information

Labor Economics, Lectures 9 and 10: Investments in General and Speci c Skills

Labor Economics, Lectures 9 and 10: Investments in General and Speci c Skills Labor Economics, 14.661. Lectures 9 and 10: Investments in General and Speci c Skills Daron Acemoglu MIT Nov. 29 and Dec. 1, 2011. Daron Acemoglu (MIT) General and Speci c Skills Nov. 29 and Dec. 1, 2011.

More information

First-Price Auctions with General Information Structures: A Short Introduction

First-Price Auctions with General Information Structures: A Short Introduction First-Price Auctions with General Information Structures: A Short Introduction DIRK BERGEMANN Yale University and BENJAMIN BROOKS University of Chicago and STEPHEN MORRIS Princeton University We explore

More information

Homogeneous Platform Competition with Heterogeneous Consumers

Homogeneous Platform Competition with Heterogeneous Consumers Homogeneous Platform Competition with Heterogeneous Consumers Thomas D. Jeitschko and Mark J. Tremblay Prepared for IIOC 2014: Not Intended for Circulation March 27, 2014 Abstract In this paper we investigate

More information

On the Reputation of Agent-based Web Services

On the Reputation of Agent-based Web Services On the Reputation of Agent-based Web Services Babak Khosravifar, Jamal Bentahar, Ahmad Moazin, and Philippe Thiran 2 Concordia University, Canada, 2 University of Namur, Belgium b khosr@encs.concordia.ca,

More information

Wireless Networking with Selfish Agents. Li (Erran) Li Center for Networking Research Bell Labs, Lucent Technologies

Wireless Networking with Selfish Agents. Li (Erran) Li Center for Networking Research Bell Labs, Lucent Technologies Wireless Networking with Selfish Agents Li (Erran) Li Center for Networking Research Bell Labs, Lucent Technologies erranlli@dnrc.bell-labs.com Today s Wireless Internet 802.11 LAN Internet 2G/3G WAN Infrastructure

More information

Robust Supply Function Bidding in Electricity Markets With Renewables

Robust Supply Function Bidding in Electricity Markets With Renewables Robust Supply Function Bidding in Electricity Markets With Renewables Yuanzhang Xiao Department of EECS Email: xyz.xiao@gmail.com Chaithanya Bandi Kellogg School of Management Email: c-bandi@kellogg.northwestern.edu

More information

Economics II - October 27, 2009 Based on H.R.Varian - Intermediate Microeconomics. A Modern Approach

Economics II - October 27, 2009 Based on H.R.Varian - Intermediate Microeconomics. A Modern Approach Economics II - October 7, 009 Based on H.R.Varian - Intermediate Microeconomics. A Modern Approach GAME THEORY Economic agents can interact strategically in a variety of ways, and many of these have been

More information

Computational Microeconomics: Game Theory, Social Choice,

Computational Microeconomics: Game Theory, Social Choice, CPS 590.4: Computational Microeconomics: Game Theory, Social Choice, and Mechanism Design Instructor: Vincent Conitzer (Sally Dalton Robinson Professor of Computer Science & Professor of Economics) conitzer@cs.duke.edu

More information

ECON 500 Microeconomic Theory MARKET FAILURES. Asymmetric Information Externalities Public Goods

ECON 500 Microeconomic Theory MARKET FAILURES. Asymmetric Information Externalities Public Goods ECON 500 Microeconomic Theory MARKET FAILURES Asymmetric Information Externalities Public Goods Markets can and do fail to achieve the efficiency and welfare ideals that we have presented thus far. Asymmetric

More information

Oligopoly Theory (11) Collusion

Oligopoly Theory (11) Collusion Oligopoly Theory (11) Collusion Aim of this lecture (1) To understand the idea of repeated game. (2) To understand the idea of the stability of collusion. Oligopoly Theory 1 Outline of the 11th Lecture

More information

Collusion. Sotiris Georganas. February Sotiris Georganas () Collusion February / 31

Collusion. Sotiris Georganas. February Sotiris Georganas () Collusion February / 31 Collusion Sotiris Georganas February 2012 Sotiris Georganas () Collusion February 2012 1 / 31 Outline 1 Cartels 2 The incentive for cartel formation The scope for collusion in the Cournot model 3 Game

More information

Intermediate Microeconomics IMPERFECT COMPETITION BEN VAN KAMMEN, PHD PURDUE UNIVERSITY

Intermediate Microeconomics IMPERFECT COMPETITION BEN VAN KAMMEN, PHD PURDUE UNIVERSITY Intermediate Microeconomics IMPERFECT COMPETITION BEN VAN KAMMEN, PHD PURDUE UNIVERSITY No, not the BCS Oligopoly: A market with few firms but more than one. Duopoly: A market with two firms. Cartel: Several

More information