Optimal Competitive Auctions

We study the design of truthful auctions for selling identical items in unlimited supply (e.g., digital goods) to n unit demand buyers. This classic problem stands out from profit-maximizing auction design literature as it requires no probabilistic assumptions on buyers' valuations and employs the framework of competitive analysis. Our objective is to optimize the worst-case performance of an auction, measured by the ratio between a given benchmark and revenue generated by the auction. We establish a sufficient and necessary condition that characterizes competitive ratios for all monotone benchmarks. The characterization identifies the worst-case distribution of instances and reveals intrinsic relations between competitive ratios and benchmarks in the competitive analysis. With the characterization at hand, we show optimal competitive auctions for two natural benchmarks. The most well-studied benchmark $\mathcal{F}^{(2)}(\cdot)$ measures the envy-free optimal revenue where at least two buyers win. Goldberg et al. [13] showed a sequence of lower bounds on the competitive ratio for each number of buyers n. They conjectured that all these bounds are tight. We show that optimal competitive auctions match these bounds. Thus, we confirm the conjecture and settle a central open problem in the design of digital goods auctions. As one more application we examine another economically meaningful benchmark, which measures the optimal revenue across all limited-supply Vickrey auctions. We identify the optimal competitive ratios to be $(\frac{n}{n-1})^{n-1}-1$ for each number of buyers n, that is $e-1$ as $n$ approaches infinity

Properties of Nucleon Resonances by means of a Genetic Algorithm

We present an optimization scheme that employs a Genetic Algorithm (GA) to determine the properties of low-lying nucleon excitations within a realistic photo-pion production model based upon an effective Lagrangian. We show that with this modern optimization technique it is possible to reliably assess the parameters of the resonances and the associated error bars as well as to identify weaknesses in the models. To illustrate the problems the optimization process may encounter, we provide results obtained for the nucleon resonances $\Delta$(1230) and $\Delta$(1700). The former can be easily isolated and thus has been studied in depth, while the latter is not as well known experimentally.Comment: 12 pages, 10 figures, 3 tables. Minor correction

A study of order based genetic and evolutionary algorithms in combinatorial optimization problems

In Genetic and Evolutionary Algorithms (GEAs) one is faced with a given number of parameters, whose possible values are coded in a binary alphabet. With Order Based Representations (OBRs) the genetic information is kept by the order of the genes and not by its value. The application of OBRs to the Traveling Salesman Problem (TSP) is a well known technique to the GEA community. In this work one intends to show that this coding scheme can be used as an indirect representation, where the chromosome is the input for the decoder. The behavior of the GEA's operators is compared under benchmarks taken from the Combinatorial Optimization arena.(undefined