Mechanism Design for Double Auctions with Temporal Constraints

Zhao, Dengji; Zhang, Dongmo; Perrussel, Laurent

doi:10.5591/978-1-57735-516-8/IJCAI11-086

Mechanism Design for Double Auctions with Temporal Constraints

Dengji Zhao, Dongmo Zhang, Laurent Perrussel

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Proceedings of the Twenty-Second International Joint Conference on Artificial Intelligence. Pages 472-476.

https://doi.org/10.5591/978-1-57735-516-8/IJCAI11-086

Abstract

This paper examines an extended double auction model where market clearing is restricted by temporal constraints. It is found that the allocation problem in this model can be effectively transformed into a weighted bipartite matching in graph theory. By using the augmentation technique, we propose a Vickrey-Clarke-Groves (VCG) mechanism in this model and demonstrate the advantages of the payment compared with the classical VCG payment (the Clarke pivot payment). We also show that the algorithms for both allocation and payment calculation run in polynomial time. It is expected that the method and results provided in this paper can be applied to the design and analysis of dynamic double auctions and futures markets.

Dengji Zhao, Dongmo Zhang, and Laurent Perrussel. 2011. Mechanism Design for Double Auctions with Temporal Constraints. In Proceedings of the Twenty-Second International Joint Conference on Artificial Intelligence, IJCAI-11. IJCAI, 472–476. https://doi.org/10.5591/978-1-57735-516-8/IJCAI11-086

@inproceedings{ijcai2011p86,
  title     = {Mechanism Design for Double Auctions with Temporal Constraints},
  author    = {Zhao, Dengji and Zhang, Dongmo and Perrussel, Laurent},
  booktitle = {Proceedings of the Twenty-Second International Joint Conference on
               Artificial Intelligence, {IJCAI-11}},
  publisher = {AAAI Press/International Joint Conferences on Artificial Intelligence},
  editor    = {Toby Walsh},
  pages     = {472--476},
  year      = {2011},
  month     = {7},
  doi       = {10.5591/978-1-57735-516-8/IJCAI11-086},
  url       = {https://doi.org/10.5591/978-1-57735-516-8/IJCAI11-086},
}

TY  - CPAPER
TI  - Mechanism Design for Double Auctions with Temporal Constraints
AU  - Zhao, Dengji
AU  - Zhang, Dongmo
AU  - Perrussel, Laurent
T2  - Proceedings of the Twenty-Second International Joint Conference on Artificial Intelligence, IJCAI-11
PB  - AAAI Press/International Joint Conferences on Artificial Intelligence
PY  - 2011
SP  - 472
EP  - 476
DO  - 10.5591/978-1-57735-516-8/IJCAI11-086
UR  - https://doi.org/10.5591/978-1-57735-516-8/IJCAI11-086
ER  -