Co-primary inter-operator spectrum sharing over a limited spectrum pool using repeated games

We consider two small cell operators deployed in the same geographical area, sharing spectrum resources from a common pool. A method is investigated to coordinate the utilization of the spectrum pool without monetary transactions and without revealing operator-specific information to other parties. For this, we construct a protocol based on asking and receiving spectrum usage favors by the operators, and keeping a book of the favors. A spectrum usage favor is exchanged between the operators if one is asking for a permission to use some of the resources from the pool on an exclusive basis, and the other is willing to accept that. As a result, the proposed method does not force an operator to take action. An operator with a high load may take spectrum usage favors from an operator that has few users to serve, and it is likely to return these favors in the future to show a cooperative spirit and maintain reciprocity. We formulate the interactions between the operators as a repeated game and determine rules to decide whether to ask or grant a favor at each stage game. We illustrate that under frequent network load variations, which are expected to be prominent in small cell deployments, both operators can attain higher user rates as compared to the case of no coordination of the resource utilization.Comment: To be published in proceedings of IEEE International Conference on Communications (ICC) at London, Jun. 201

Using Genetic Algorithms to Develop Strategies for the Prisoners Dilemma

The Prisoner’s Dilemma, a simple two-person game invented by Merrill Flood & Melvin Dresher in the 1950s, has been studied extensively in Game Theory, Economics, and Political Science because it can be seen as an idealized model for real-world phenomena such as arms races (Axelrod 1984). In this paper, I describe a GA to search for strategies to play the Iterated Prisoner’s Dilemma, in which the fitness of a strategy is its average score in playing 100 games with itself and with every other member of the population. Each strategy remembers the three previous turns with a given player, by using a population of 20 strategies, fitness-proportional selection, single-point crossover with Pc=0.7, and mutation with Pm=0.001.GA, Crossover, Mutation and Fitness-proportional

Constitutions as Equilibria: A Game-theoretic Approach to Positive Constitutional Economics

The aim of this paper is to derive conditions under which either dictatorship or the rule of law are the equilibria of a post-constitutional game. It thus contributes to positive constitutional economics, i.e., the research program that is interested in explaining the emergence of constitutions and their change over time. In our model, society is assumed to consist of two groups one of which has a comparative advantage in using violence. Violence can be used to produce (transactional) security as well as to exploit the weaker group, which has a comparative advantage in producing a private good. Yet, exploitation is limited: it increases the chances of a revolution and reduces the incentives of the exploited group to produce the private good. The model identifies the conditions under which the two groups will comply with a social contract which consists of the exchange of high effort in producing the private good against provision of security. We also identify conditions under which a social contract is cheap talk and exploitation occurs. -- Das Paper arbeitet Bedingungen heraus, unter denen entweder Rechtsstaat oder aber Diktatur Gleichgewicht eines post-konstitutionellen Spiels ist. Es stellt damit einen Beitrag zur Positiven Konstitutionenökonomik dar, dem Forschungsprogramm zur Erklärung der Entstehung und des Wandels von Verfassungen. In unserem Modell wird angenommen, daß die Gesellschaft aus zwei Gruppen besteht. Eine hat einen komparativen Kostenvorteil bei der Anwendung von Gewalt, die zur Produktion des öffentlichen Guts (Tausch-)Sicherheit benutzt werden kann, aber auch dazu, die schwächere Gruppe auszubeuten. Diese hat einen komparativen Kostenvorteil bei der Herstellung eines privaten Gutes. Das Ausmaß der Ausbeutung ist jedoch begrenzt, weil dadurch die Aussichten einer erfolgreichen Revolution erhöht werden. Außerdem vermindert Ausbeutung die Anreize der schwächeren Gruppe, das private Gut herzustellen. Das Modell zeigt die Bedingungen auf, unter denen die beiden Gruppen einen Sozialvertrag einhalten, der den Austausch eines hohen Produktionsniveaus gegen Sicherheit vorsieht. Außerdem werden die Bedingungen identifiziert, unter denen es zu Ausbeutung kommt, dieser Sozialvertrag also nur "cheap talk" ist.Self-enforcing contracts,Rule of law,dictatorship,autocracy,Positive Constitutional Economics

Higher-order theory of mind is especially useful in unpredictable negotiations

In social interactions, people often reason about the beliefs, goals and intentions of others. This theory of mind allows them to interpret the behavior of others, and predict how they will behave in the future. People can also use this ability recursively: they use higher-order theory of mind to reason about the theory of mind abilities of others, as in "he thinks that I don’t know that he sent me an anonymous letter". Previous agent-based modeling research has shown that the usefulness of higher-order theory of mind reasoning can be useful across competitive, cooperative, and mixed-motive settings. In this paper, we cast a new light on these results by investigating how the predictability of the environment influences the effectiveness of higher-order theory of mind. Our results show that the benefit of (higher-order) theory of mind reasoning is strongly dependent on the predictability of the environment. We consider agent-based simulations in repeated one-shot negotiations in a particular negotiation setting known as Colored Trails. When this environment is highly predictable, agents obtain little benefit from theory of mind reasoning. However, if the environment has more observable features that change over time, agents without the ability to use theory of mind experience more difficulties predicting the behavior of others accurately. This in turn allows theory of mind agents to obtain higher scores in these more dynamic environments. These results suggest that the human-specific ability for higher-order theory of mind reasoning may have evolved to allow us to survive in more complex and unpredictable environments

A reason for unreason: returns based beliefs in game theory

Players cooperate in experiments more than game theory would predict. We introduce the ‘returns-based beliefs’ approach: the expected returns of a particular strategy in proportion to total expected returns of all strategies. Using a decision analytic solution concept, Luce’s (1959) probabilistic choice model, and ‘hyperpriors’ for ambiguity in players’ cooperability, our approach explains empirical observations in various classes of games including the Prisoner’s and Traveler’s Dilemmas. Testing the closeness of fit of our model on Selten and Chmura (2008) data for completely mixed 2 × 2 games shows that with loss aversion, returns-based beliefs explain the data better than other equilibrium concepts

Delay in Strategic Information Aggregation

We study a model of collective decision making in which agents vote on the decision repeatedly until they agree, with the agents receiving no exogenous new information between two voting rounds but incurring a delay cost. Although preference conflict between the agents makes information aggregation impossible in a single round of voting, in the equilibrium of the repeated voting game agents are increasingly more willing to vote their private information after each disagreement. Information is efficiently aggregated within a finite number of rounds. As delay becomes less costly, agents are less willing to vote their private information, and efficient information aggregation takes longer. Even as the delay cost converges to zero, agents are strictly better off in the repeated voting game than in any single round game for moderate degrees of initial conflict.repeated voting; gradual concessions; small delay cost

Advances in negotiation theory : bargaining, coalitions, and fairness

Bargaining is ubiquitous in real life. It is a major dimension of political and business activities. It appears at the international level, when governments negotiate on matters ranging from economic issues (such as the removal of trade barriers), to global security (such as fighting against terrorism) to environmental and related issues (such as climate change control). What factors determinethe outcomes of such negotiations? What strategies can help reach an agreement? How should the parties involved divide the gains from cooperation? With whom will one make alliances? The authors address these questions by focusing on a noncooperative approach to negotiations, which is particularly relevant for the study of international negotiations. By reviewing noncooperative bargaining theory, noncooperative coalition theory, and the theory of fair division, they try to identify the connections among these different facets of the same problem in an attempt to facilitate progress toward a unified framework.Economic Theory&Research,Social Protections&Assistance,Environmental Economics&Policies,Scientific Research&Science Parks,Science Education