payment scheme
Spot Check Equivalence: an Interpretable Metric for Information Elicitation Mechanisms
Xu, Shengwei, Zhang, Yichi, Resnick, Paul, Schoenebeck, Grant
Because high-quality data is like oxygen for AI systems, effectively eliciting information from crowdsourcing workers has become a first-order problem for developing high-performance machine learning algorithms. Two prevalent paradigms, spot-checking and peer prediction, enable the design of mechanisms to evaluate and incentivize high-quality data from human labelers. So far, at least three metrics have been proposed to compare the performances of these techniques [33, 8, 3]. However, different metrics lead to divergent and even contradictory results in various contexts. In this paper, we harmonize these divergent stories, showing that two of these metrics are actually the same within certain contexts and explain the divergence of the third. Moreover, we unify these different contexts by introducing \textit{Spot Check Equivalence}, which offers an interpretable metric for the effectiveness of a peer prediction mechanism. Finally, we present two approaches to compute spot check equivalence in various contexts, where simulation results verify the effectiveness of our proposed metric.
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Optimal and Efficient Auctions for the Gradual Procurement of Strategic Service Provider Agents
Farhadi, Farzaneh (a:1:{s:5:"en_US";s:23:"Imperial College London";}) | Chli, Maria (Department of Computer Science, Aston University) | Jennings, Nicholas R. (Loughbourough University)
We consider an outsourcing problem where a software agent procures multiple services from providers with uncertain reliabilities to complete a computational task before a strict deadline. The service consumer’s goal is to design an outsourcing strategy (defining which services to procure and when) so as to maximize a specific objective function. This objective function can be different based on the consumer’s nature; a socially-focused consumer often aims to maximize social welfare, while a self-interested consumer often aims to maximize its own utility. However, in both cases, the objective function depends on the providers’ execution costs, which are privately held by the self-interested providers and hence may be misreported to influence the consumer’s decisions. For such settings, we develop a unified approach to design truthful procurement auctions that can be used by both socially-focused and, separately, self-interested consumers. This approach benefits from our proposed weighted threshold payment scheme which pays the provably minimum amount to make an auction with a monotone outsourcing strategy incentive compatible. This payment scheme can handle contingent outsourcing plans, where additional procurement happens gradually over time and only if the success probability of the already hired providers drops below a time-dependent threshold. Using a weighted threshold payment scheme, we design two procurement auctions that maximize, as well as two low-complexity heuristic-based auctions that approximately maximize, the consumer’s expected utility and expected social welfare, respectively. We demonstrate the effectiveness and strength of our proposed auctions through both game-theoretical and empirical analysis.
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- Europe > United Kingdom > England > Leicestershire > Loughborough (0.04)
Optimal Auction Design for the Gradual Procurement of Strategic Service Provider Agents
Farhadi, Farzaneh, Chli, Maria, Jennings, Nicholas R.
We consider an outsourcing problem where a software agent procures multiple services from providers with uncertain reliabilities to complete a computational task before a strict deadline. The service consumer requires a procurement strategy that achieves the optimal balance between success probability and invocation cost. However, the service providers are self-interested and may misrepresent their private cost information if it benefits them. For such settings, we design a novel procurement auction that provides the consumer with the highest possible revenue, while giving sufficient incentives to providers to tell the truth about their costs. This auction creates a contingent plan for gradual service procurement that suggests recruiting a new provider only when the success probability of the already hired providers drops below a time-dependent threshold. To make this auction incentive compatible, we propose a novel weighted threshold payment scheme which pays the minimum among all truthful mechanisms. Using the weighted payment scheme, we also design a low-complexity near-optimal auction that reduces the computational complexity of the optimal mechanism by 99% with only marginal performance loss (less than 1%). We demonstrate the effectiveness and strength of our proposed auctions through both game theoretical and numerical analysis. The experiment results confirm that the proposed auctions exhibit 59% improvement in performance over the current state-of-the-art, by increasing success probability up to 79% and reducing invocation cost by up to 11%.
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- North America > United States > Massachusetts > Middlesex County > Cambridge (0.04)
- Europe > United Kingdom > England > Oxfordshire > Oxford (0.04)
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Incentivising Exploration and Recommendations for Contextual Bandits with Payments
Agrawal, Priyank, Tulabandhula, Theja
We propose a contextual bandit based model to capture the learning and social welfare goals of a web platform in the presence of myopic users. By using payments to incentivize these agents to explore different items/recommendations, we show how the platform can learn the inherent attributes of items and achieve a sublinear regret while maximizing cumulative social welfare. We also calculate theoretical bounds on the cumulative costs of incentivization to the platform. Unlike previous works in this domain, we consider contexts to be completely adversarial, and the behavior of the adversary is unknown to the platform. Our approach can improve various engagement metrics of users on e-commerce stores, recommendation engines and matching platforms.
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- North America > United States > Illinois > Champaign County > Urbana (0.04)
A Robust Bayesian Truth Serum for Non-Binary Signals
Radanovic, Goran (Ecole Polytechnique Fédérale de Lausanne (EPFL)) | Faltings, Boi (Ecole Polytechnique Fédérale de Lausanne (EPFL))
Several mechanisms have been proposed for incentivizing truthful reports of a private signals owned by rational agents, among them the peer prediction method and the Bayesian truth serum. The robust Bayesian truth serum (RBTS) for small populations and binary signals is particularly interesting since it does not require a common prior to be known to the mechanism. We further analyze the problem of the common prior not known to the mechanism and give several results regarding the restrictions that need to be placed in order to have an incentive-compatible mechanism. Moreover, we construct a Bayes-Nash incentive-compatible scheme called multi-valued RBTS that generalizes RBTS to operate on both small populations and non-binary signals.
Collaboration and Shared Plans in the Open World: Studies of Ridesharing
Kamar, Ece (Harvard University) | Horvitz, Eric (Microsoft Research)
We develop and test computational methods for guiding collaboration that demonstrate how shared plans can be created in real-world settings, where agents can be expected to have diverse and varying goals, preferences, and availabilities. The methods are motivated and evaluated in the realm of ridesharing, using GPS logs of commuting data. We consider challenges with coordination among self-interested people aimed at minimizing the cost of transportation and the impact of travel on the environment. We present planning, optimization, and payment mechanisms that provide fair and efficient solutions to the rideshare collaboration challenge. We evaluate different VCG-based payment schemes in terms of their computational efficiency, budget balance, incentive compatibility, and strategy proofness. We present the behavior and analyses provided by the ABC ridesharing prototype system. The system learns about destinations and preferences from GPS traces and calendars, and considers time, fuel, environmental, and cognitive costs. We review how ABC generates rideshare plans from hundreds of real-life GPS traces collected from a community of commuters and reflect about the promise of employing the ABC methods to reduce the number of vehicles on the road, thus reducing CO2 emissions and fuel expenditures.
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Eliciting Honest Reputation Feedback in a Markov Setting
Witkowski, Jens (Albert-Ludwigs-Universität Freiburg)
Recently, online reputation mechanisms have been proposed that reward agents for honest feedback about products and services with fixed quality. Many real-world settings, however, are inherently dynamic. As an example, consider a web service that wishes to publish the expected download speed of a file mirrored on different server sites. In contrast to the models of Miller, Resnick and Zeckhauser and of Jurca and Faltings, the quality of the service (e. g., a server’s available bandwidth) changes over time and future agents are solely interested in the present quality levels. We show that hidden Markov models (HMM) provide natural generalizations of these static models and design a payment scheme that elicits honest reports from the agents after they have experienced the quality of the service.
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