Combinatorial Auctions with Decreasing Marginal Utilities

dc.creatorLehmann, Benny
dc.creatorLehmann, Daniel
dc.creatorNisan, Noam
dc.date2002-02-15
dc.date2002-09-12
dc.date.accessioned2026-07-07T06:27:57Z
dc.date.available2026-07-07T06:27:57Z
dc.descriptionIn most of microeconomic theory, consumers are assumed to exhibit decreasing marginal utilities. This paper considers combinatorial auctions among such submodular buyers. The valuations of such buyers are placed within a hierarchy of valuations that exhibit no complementarities, a hierarchy that includes also OR and XOR combinations of singleton valuations, and valuations satisfying the gross substitutes property. Those last valuations are shown to form a zero-measure subset of the submodular valuations that have positive measure. While we show that the allocation problem among submodular valuations is NP-hard, we present an efficient greedy 2-approximation algorithm for this case and generalize it to the case of limited complementarities. No such approximation algorithm exists in a setting allowing for arbitrary complementarities. Some results about strategic aspects of combinatorial auctions among players with decreasing marginal utilities are also presented.
dc.descriptionTo appear in GEB. Preliminary version appeared in EC'01
dc.identifierhttps://arxiv.org/abs/cs/0202015
dc.identifierhttp://arxiv.org/abs/cs/0202015
dc.identifierGames and Economic Behavior, Vol 55/2 May 2006 pp 270-296
dc.identifierdoi:10.1016/j.geb2005.02.006
dc.identifier.urihttp://salesiana.dossiersoluciones.com/handle/123456789/97565
dc.subjectComputer Science and Game Theory
dc.subjectJ.4
dc.titleCombinatorial Auctions with Decreasing Marginal Utilities
dc.typetext

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