With the recent technological feasibility of electronic commerce over the Internet, much attention has been given to the design of electronic markets for various types of electronically-tradable goods. Such markets, however, will normally need to function in some relationship with markets for other related goods, usually those downstream or upstream in the supply chain. Thus, for example, an electronic market for rubber tires for trucks will likely need to be strongly influenced by the rubber market as well as by the truck market. In this paper we design protocols for exchange of information between a sequence of markets along a single supply chain. These protocols allow each of these markets to function separately, while the information exchanged ensures efficient global behavior across the supply chain. Each market that forms a link in the supply chain operates as a double auction, where the bids on one side of the double auction come from bidders in the corresponding segment of the industry, and the bids on the other side are synthetically generated by the protocol to express the combined information from all other links in the chain. The double auctions in each of the markets can be of several types, and we study several variants of incentive compatible double auctions, comparing them in terms of their efficiency and of the market revenue.

Policies of Markov Decision Processes (MDPs) determine the next action to execute from the current state and, possibly, the history (the past states). When the number of states is large, succinct representations are often used to compactly represent both the MDPs and the policies in a reduced amount of space. In this paper, some problems related to the size of succinctly represented policies are analyzed. Namely, it is shown that some MDPs have policies that can only be represented in space super-polynomial in the size of the MDP, unless the polynomial hierarchy collapses. This fact motivates the study of the problem of deciding whether a given MDP has a policy of a given size and reward. Since some algorithms for MDPs work by finding a succinct representation of the value function, the problem of deciding the existence of a succinct representation of a value function of a given size and reward is also considered.

The predominant knowledge-based approach to automated model construction, compositional modelling, employs a set of models of particular functional components. Its inference mechanism takes a scenario describing the constituent interacting components of a system and translates it into a useful mathematical model. This paper presents a novel compositional modelling approach aimed at building model repositories. It furthers the field in two respects. Firstly, it expands the application domain of compositional modelling to systems that can not be easily described in terms of interacting functional components, such as ecological systems. Secondly, it enables the incorporation of user preferences into the model selection process. These features are achieved by casting the compositional modelling problem as an activity-based dynamic preference constraint satisfaction problem, where the dynamic constraints describe the restrictions imposed over the composition of partial models and the preferences correspond to those of the user of the automated modeller. In addition, the preference levels are represented through the use of symbolic values that differ in orders of magnitude.

In recent years, there has been much interest in phase transitions of combinatorial problems. Phase transitions have been successfully used to analyze combinatorial optimization problems, characterize their typical-case features and locate the hardest problem instances. In this paper, we study phase transitions of the asymmetric Traveling Salesman Problem (ATSP), an NP-hard combinatorial optimization problem that has many real-world applications. Using random instances of up to 1,500 cities in which intercity distances are uniformly distributed, we empirically show that many properties of the problem, including the optimal tour cost and backbone size, experience sharp transitions as the precision of intercity distances increases across a critical value. Our experimental results on the costs of the ATSP tours and assignment problem agree with the theoretical result that the asymptotic cost of assignment problem is pi ^2 /6 the number of cities goes to infinity. In addition, we show that the average computational cost of the well-known branch-and-bound subtour elimination algorithm for the problem also exhibits a thrashing behavior, transitioning from easy to difficult as the distance precision increases. These results answer positively an open question regarding the existence of phase transitions in the ATSP, and provide guidance on how difficult ATSP problem instances should be generated.

We present a visually-grounded language understanding model based on a study of how people verbally describe objects in scenes. The emphasis of the model is on the combination of individual word meanings to produce meanings for complex referring expressions. The model has been implemented, and it is able to understand a broad range of spatial referring expressions. We describe our implementation of word level visually-grounded semantics and their embedding in a compositional parsing framework. The implemented system selects the correct referents in response to natural language expressions for a large percentage of test cases. In an analysis of the system's successes and failures we reveal how visual context influences the semantics of utterances and propose future extensions to the model that take such context into account.

One of the fastest advancing areas of modern science is functional genomics. This science seeks to understand how the complete complement of molecular components of living organisms (nucleic acid, protein, small molecules, and so on) interact together to form living organisms. Functional genomics is of interest to AI because the relationship between machines and living organisms is central to AI and because the field is an instructive and fun domain to apply and sharpen AI tools and ideas, requiring complex knowledge representation, reasoning, learning, and so on. This article describes two machine learning (inductive logic programming [ILP])-based approaches to the bioinformatic problem of predicting protein function from amino acid sequence. The first approach is based on using ILP as a way of bootstrapping from conventional sequence-based homology methods. The second approach used protein-functional ontologies to provide function classes and a hybrid ILP method to predict function directly from sequence. Both ILP approaches were successful in producing accurate prediction rules that could biologically be interpreted. The work was also of interest to machine learning research because it highlighted the flexibility of ILP systems in dealing with heterogeneous data, the importance of problems where classes are related hierarchically, and problems where examples have more than one functional class.

Thus, one of the primary goals of a CBR system is to find the most similar, or most relevant, cases for new input problems. The effectiveness of CBR depends on the quality and quantity of cases in a case base. In some domains, even a small number of cases provide good solutions, but in other domains, an increased number of unique cases improves problemsolving capabilities of CBR systems because there are more experiences to draw on. The reader can find detailed complete theories, and rapid evolution; reasoning descriptions of the CBR process and systems in is often based on experience rather Kolodner (1993). Experts remember are presented in Leake (1996), and practically positive experiences for possible reuse of solutions; negative experiences are used to avoid oriented descriptions of CBR can be potentially unsuccessful outcomes.

Within computational biology, algorithms are constructed with the aim of extracting knowledge from biological data, in particular, data generated by the large genome projects, where gene and protein sequences are produced in high volume. In this article, we explore new ways of representing protein-sequence information, using machine learning strategies, where the primary goal is the discovery of novel powerful representations for use in AI techniques. In the case of proteins and the 20 different amino acids they typically contain, it is also a secondary goal to discover how the current selection of amino acids -- which now are common in proteins -- might have emerged from simpler selections, or alphabets, in use earlier during the evolution of living organisms.

NASA Ames Research Center Polish Academy of Sciences URL: www.taai.org.tw/announce/ (PRICAI 2004). (ICKEDS 2004). This book looks at some of the results of the synergy among AI, cognitive science, and education. Examples include virtual students whose misconceptions force students to reflect on their own knowledge, intelligent tutoring systems, and speech recognition technology that helps students learn to read.

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