Research map / Learning theory and algorithms / Submodular and game algorithms
The Limits of Optimal Pricing in the Dark
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Measured effects reported in the paper
| What was changed | Where | Measured | Effect |
|---|---|---|---|
| Commit to the optimal imitative value function under linear pricing | PADD pricing game · General production costs | seller revenue | Mixed |
| Use convex differentiable production costs | PADD equilibrium · Convex production costs | seller revenue | Helped |
| Use concave production costs | PADD equilibrium · Concave production costs | seller revenue: 0 | Hurt |
| Use concave production costs | PADD equilibrium · Concave production costs | buyer surplus | Helped |
| Expand the seller's pricing class from linear to concave pricing | PADD pricing game · General production costs | seller revenue | No clear effect |
| Expand from linear pricing to an intermediate richer pricing class | PADD pricing game · Single-good example with c(x) = x^2 | seller revenue | Hurt |
| Expand from linear pricing to an intermediate richer pricing class | PADD pricing game · Single-good example with c(x) = x^2 | buyer surplus | Helped |
| Imitate the seller's cost function | Buyer manipulation in PADD · Examples discussed in the paper | buyer surplus | Hurt |
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