• Corpus ID: 220546573

Simple posted pricing mechanisms for selling a divisible item

@article{Caragiannis2020SimplePP,
  title={Simple posted pricing mechanisms for selling a divisible item},
  author={Ioannis Caragiannis and Apostolis Kerentzis},
  journal={ArXiv},
  year={2020},
  volume={abs/2007.08246}
}
We study the problem of selling a divisible item to agents who have concave valuation functions for fractions of the item. This is a fundamental problem with apparent applications to pricing communication bandwidth or cloud computing services. We focus on simple sequential posted pricing mechanisms that use linear pricing, i.e., a fixed price for the whole item and proportional prices for fractions of it. We present results of the following form that can be thought of as analogs of the well… 

References

SHOWING 1-10 OF 34 REFERENCES
Algorithmic pricing via virtual valuations
TLDR
This work considers the unit-demand variant of algorithmic pricing, where the consumer's valuations for the different items are independent random variables, and proposes a constant approximation algorithm that makes use of an interesting connection between this problem and the concept of virtual valuations from the single-parameter Bayesian optimal mechanism design literature.
Combinatorial Auctions via Posted Prices
TLDR
It is shown that when agent preferences are fractionally subadditive (which includes all submodular functions), there always exist prices that, in expectation, obtain at least half of the optimal welfare.
On the Efficiency of the Proportional Allocation Mechanism for Divisible Resources
TLDR
The Price of Anarchy (PoA) of the induced game under complete and incomplete information is studied, and it is proved that the PoA is exactly 2 for pure equilibria in the polyhedral environment.
On revenue in the generalized second price auction
TLDR
The revenue of the Generalized Second Price auction at equilibrium is considered and it is proved that if agent values are drawn from identical regular distributions, then the GSP auction paired with an appropriate reserve price generates a constant fraction of the optimal revenue.
Automated Online Mechanism Design and Prophet Inequalities
TLDR
By combining dynamic programming with prophet inequalities (a technique from optimal stopping theory), this work is able to design and analyze online mechanisms which are temporally strategyproof and approximately efficiency-maximizing and prove new prophet inequalities motivated by the auction setting.
Revenue Guarantees in the Generalized Second Price Auction
TLDR
It is shown that, by appropriately setting the reserve price, the revenue over any Bayes-Nash equilibrium of the game induced by the GSP auction is at most a small constant factor away from the optimal revenue, improving previous results of Lucier et al.
Inefficiency of Standard Multi-unit Auctions
TLDR
This work evaluates the economic inefficiency of both multi-unit auction formats for both bidding interfaces, by means of upper and lower bounds on the Price of Anarchy for pure Nash equilibria and mixed Bayes-NashEquilibria.
Tight approximation ratio of anonymous pricing
TLDR
In the single-item setting: the approximation ratio of Second-Price Auction with Anonymous Reserve is improved to 2.62, which breaks the best known upper bound of e ≈ 2.72.
Price of anarchy for auction revenue
TLDR
Borders are given for matroid auctions with first price or all-pay semantics, and the generalized first price position auction, and an extension theorem for simultaneous composition is given, i.e., when multiple auctions are run simultaneously, with single-valued and unit demand agents.
Optimal Auctions vs. Anonymous Pricing
TLDR
This work considers the more demanding problem of approximating the revenue of the ex ante relaxation of the auction problem by posting an anonymous price (while supplies last) and proves that their worst-case ratio is e.
...
1
2
3
4
...