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Shuchi Chawla

Publications and source records attributed to Shuchi Chawla.

60 records · Page 4Linked to original sources

The power of randomness in Bayesian optimal mechanism design

We investigate the power of randomness in the context of a fundamental Bayesian optimal mechanism design problem--a single seller aims to maximize expected revenue by allocating multiple kinds of resources to "unit-demand" agents with preferences drawn from a known distribution. When the agents' preferences are single-dimensional Myerson's seminal work [Myerson '81] shows that randomness offers no benefit--the optimal mechanism is always deterministic. In the multi-dimensional case, where each agent's preferences are given by different values for each of the available services, Briest et al. [Briest, Chawla, Kleinberg, and Weinberg '10] recently showed that the gap between the expected revenue obtained by an optimal randomized mechanism and an optimal deterministic mechanism can be unbounded even when a single agent is offered only 4 services. However, this large gap is attained through unnatural instances where values of the agent for different services are correlated in a specific way. We show that when the agent's values involve no correlation or a specific kind of positive correlation, the benefit of randomness is only a small constant factor (4 and 8 respectively). Our model of positively correlated values (that we call additive values) is a natural model for unit-demand agents and items that are substitutes. Our results extend to multiple agent settings as well.

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Sequential Posted Pricing and Multi-parameter Mechanism Design

We consider the classical mathematical economics problem of {\em Bayesian optimal mechanism design} where a principal aims to optimize expected revenue when allocating resources to self-interested agents with preferences drawn from a known distribution. In single-parameter settings (i.e., where each agent's preference is given by a single private value for being served and zero for not being served) this problem is solved [Myerson '81]. Unfortunately, these single parameter optimal mechanisms are impractical and rarely employed [Ausubel and Milgrom '06], and furthermore the underlying economic theory fails to generalize to the important, relevant, and unsolved multi-dimensional setting (i.e., where each agent's preference is given by multiple values for each of the multiple services available) [Manelli and Vincent '07]. In contrast to the theory of optimal mechanisms we develop a theory of sequential posted price mechanisms, where agents in sequence are offered take-it-or-leave-it prices. These mechanisms are approximately optimal in single-dimensional settings, and avoid many of the properties that make optimal mechanisms impractical. Furthermore, these mechanisms generalize naturally to give the first known approximations to the elusive optimal multi-dimensional mechanism design problem. In particular, we solve multi-dimensional multi-unit auction problems and generalizations to matroid feasibility constraints. The constant approximations we obtain range from 1.5 to 8. For all but one case, our posted price sequences can be computed in polynomial time.

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Region growing for multi-route cuts

We study a number of multi-route cut problems: given a graph G=(V,E) and connectivity thresholds k_(u,v) on pairs of nodes, the goal is to find a minimum cost set of edges or vertices the removal of which reduces the connectivity between every pair (u,v) to strictly below its given threshold. These problems arise in the context of reliability in communication networks; They are natural generalizations of traditional minimum cut problems where the thresholds are either 1 (we want to completely separate the pair) or infinity (we don't care about the connectivity for the pair). We provide the first non-trivial approximations to a number of variants of the problem including for both node-disjoint and edge-disjoint connectivity thresholds. A main contribution of our work is an extension of the region growing technique for approximating minimum multicuts to the multi-route setting. When the connectivity thresholds are either 2 or infinity (the "2-route cut" case), we obtain polylogarithmic approximations while satisfying the thresholds exactly. For arbitrary connectivity thresholds this approach leads to bicriteria approximations where we approximately satisfy the thresholds and approximately minimize the cost. We present a number of different algorithms achieving different cost-connectivity tradeoffs.

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Pricing Randomized Allocations

Randomized mechanisms, which map a set of bids to a probability distribution over outcomes rather than a single outcome, are an important but ill-understood area of computational mechanism design. We investigate the role of randomized outcomes (henceforth, "lotteries") in the context of a fundamental and archetypical multi-parameter mechanism design problem: selling heterogeneous items to unit-demand bidders. To what extent can a seller improve her revenue by pricing lotteries rather than items, and does this modification of the problem affect its computational tractability? Our results show that the answers to these questions hinge on whether consumers can purchase only one lottery (the buy-one model) or purchase any set of lotteries and receive an independent sample from each (the buy-many model). In the buy-one model, there is a polynomial-time algorithm to compute the revenue-maximizing envy-free prices (thus overcoming the inapproximability of the corresponding item pricing problem) and the revenue of the optimal lottery system can exceed the revenue of the optimal item pricing by an unbounded factor as long as the number of item types exceeds 4. In the buy-many model with n item types, the profit achieved by lottery pricing can exceed item pricing by a factor of O(log n) but not more, and optimal lottery pricing cannot be approximated within a factor of O(n^eps) for some eps>0, unless NP has subexponential-time randomized algorithms. Our lower bounds rely on a mixture of geometric and algebraic techniques, whereas the upper bounds use a novel rounding scheme to transform a mechanism with randomized outcomes into one with deterministic outcomes while losing only a bounded amount of revenue.

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Packing multiway cuts in capacitated graphs

We consider the following "multiway cut packing" problem in undirected graphs: we are given a graph G=(V,E) and k commodities, each corresponding to a set of terminals located at different vertices in the graph; our goal is to produce a collection of cuts {E_1,...,E_k} such that E_i is a multiway cut for commodity i and the maximum load on any edge is minimized. The load on an edge is defined to be the number of cuts in the solution crossing the edge. In the capacitated version of the problem the goal is to minimize the maximum relative load on any edge--the ratio of the edge's load to its capacity. Multiway cut packing arises in the context of graph labeling problems where we are given a partial labeling of a set of items and a neighborhood structure over them, and, informally, the goal is to complete the labeling in the most consistent way. This problem was introduced by Rabani, Schulman, and Swamy (SODA'08), who developed an O(log n/log log n) approximation for it in general graphs, as well as an improved O(log^2 k) approximation in trees. Here n is the number of nodes in the graph. We present the first constant factor approximation for this problem in arbitrary undirected graphs. Our approach is based on the observation that every instance of the problem admits a near-optimal laminar solution (that is, one in which no pair of cuts cross each other).

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Algorithmic Pricing via Virtual Valuations

Algorithmic pricing is the computational problem that sellers (e.g., in supermarkets) face when trying to set prices for their items to maximize their profit in the presence of a known demand. Guruswami et al. (2005) propose this problem and give logarithmic approximations (in the number of consumers) when each consumer's values for bundles are known precisely. Subsequently several versions of the problem have been shown to have poly-logarithmic inapproximability. This problem has direct ties to the important open question of better understanding the Bayesian optimal mechanism in multi-parameter settings; however, logarithmic approximations are inadequate for this purpose. It is therefore of vital interest to consider special cases where constant approximations are possible. We consider the unit-demand variant of this problem. Here a consumer has a valuation for each different item and their value for a set of items is simply the maximum value they have for any item in the set. We assume that the preferences of the consumers are drawn from a distribution, the standard assumption in economics; furthermore, the setting of a specific set of customers with known preferences, which is employed in all prior work in algorithmic pricing, is a special case of this general problem, where there is a discrete Bayesian distribution for preferences specified by picking one consumer uniformly from the given set of consumers. Our work complements these existing works by considering the case where the consumer's valuations for the different items are independent random variables. Our main result is a constant approximation that makes use of an interesting connection between this problem and the concept of virtual valuations from the single-parameter Bayesian optimal mechanism design literature.

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