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- Information Technology > Artificial Intelligence > Representation & Reasoning (1.00)
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Improving Policy-Constrained Kidney Exchange via Pre-Screening
In barter exchanges, participants swap goods with one another without exchanging money; these exchanges are often facilitated by a central clearinghouse, with the goal of maximizing the aggregate quality (or number) of swaps. Barter exchanges are subject to many forms of uncertainty--in participant preferences, the feasibility and quality of various swaps, and so on. Our work is motivated by kidney exchange, a real-world barter market in which patients in need of a kidney transplant swap their willing living donors, in order to find a better match. Modern exchanges include 2-and 3-way swaps, making the kidney exchange clearing problem NP-hard. Planned transplants often \emph{fail} for a variety of reasons--if the donor organ is rejected by the recipient's medical team, or if the donor and recipient are found to be medically incompatible.
Learning to Hedge Swaptions
Ahmadi, Zaniar, Godin, Frédéric
This paper investigates the deep hedging framework, based on reinforcement learning (RL), for the dynamic hedging of swaptions, contrasting its performance with traditional sensitivity-based rho-hedging. We design agents under three distinct objective functions (mean squared error, downside risk, and Conditional Value-at-Risk) to capture alternative risk preferences and evaluate how these objectives shape hedging styles. Relying on a three-factor arbitrage-free dynamic Nelson-Siegel model for our simulation experiments, our findings show that near-optimal hedging effectiveness is achieved when using two swaps as hedging instruments. Deep hedging strategies dynamically adapt the hedging portfolio's exposure to risk factors across states of the market. In our experiments, their out-performance over rho-hedging strategies persists even in the presence some of model misspecification. These results highlight RL's potential to deliver more efficient and resilient swaption hedging strategies.
- Information Technology > Artificial Intelligence > Machine Learning > Neural Networks (1.00)
- Information Technology > Artificial Intelligence > Representation & Reasoning (0.93)
- Information Technology > Artificial Intelligence > Machine Learning > Reinforcement Learning (0.88)
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BRIDGE: Building Representations In Domain Guided Program Verification
George, Robert Joseph, Eisenach, Carson, Ghai, Udaya, Perrault-Joncas, Dominique, Anandkumar, Anima, Foster, Dean
Large language models (LLMs) have achieved impressive results in code generation, yet struggle with program verification, especially in interactive proof frameworks such as Lean4. A central challenge is scalability: verified synthesis requires not just code, but also precise specifications and correctness proofs, and existing approaches rarely span all three domains. We present BRIDGE, the first systematic study of structured prompting for scalable verified program generation. BRIDGE decomposes verification into three interconnected domains: Code (executable implementations), Specifications (formal intent statements), and Proofs (constructive correctness arguments). Our key idea is to elicit distinct reasoning behaviors functional, specification-driven, and proof-oriented as intermediate representations that preserve semantic structure and connect these domains. Through systematic ablations, we show that this approach substantially improves both accuracy and efficiency beyond standard error feedback methods. For example, functional reasoning improves correctness of code in formal languages (Lean4) by nearly 1.5x (pass@5) over direct baselines. In inference-time compute, functional reasoning is also 2x more efficient, achieving higher pass rates with fewer generations and lower total sampling budgets. Similarly, we find that specification-driven prompting boosts Python coding pass rates by up to 17.5%. These findings suggest that structured domain alignment is a promising direction for advancing verified synthesis. BRIDGE establishes a foundation for training via expert iteration or RLVR, enabling models to internalize these reasoning strategies across code, specifications, and proofs.
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