Strategyproof Decision-Making in Panel Data Settings and Beyond
- URL: http://arxiv.org/abs/2211.14236v4
- Date: Thu, 21 Dec 2023 15:17:36 GMT
- Title: Strategyproof Decision-Making in Panel Data Settings and Beyond
- Authors: Keegan Harris, Anish Agarwal, Chara Podimata, Zhiwei Steven Wu
- Abstract summary: We consider the problem of decision-making using panel data, in which a decision-maker gets noisy, repeated measurements of multiple units (or agents)
We first identify a necessary and sufficient condition under which a strategyproof intervention policy exists, and provide a strategyproof mechanism with a simple closed form when one does exist.
We empirically evaluate our model using real-world panel data collected from product sales over 18 months.
- Score: 34.55170300009607
- License: http://arxiv.org/licenses/nonexclusive-distrib/1.0/
- Abstract: We consider the problem of decision-making using panel data, in which a
decision-maker gets noisy, repeated measurements of multiple units (or agents).
We consider a setup where there is a pre-intervention period, when the
principal observes the outcomes of each unit, after which the principal uses
these observations to assign a treatment to each unit. Unlike this classical
setting, we permit the units generating the panel data to be strategic, i.e.
units may modify their pre-intervention outcomes in order to receive a more
desirable intervention. The principal's goal is to design a strategyproof
intervention policy, i.e. a policy that assigns units to their
utility-maximizing interventions despite their potential strategizing. We first
identify a necessary and sufficient condition under which a strategyproof
intervention policy exists, and provide a strategyproof mechanism with a simple
closed form when one does exist. Along the way, we prove impossibility results
for strategic multiclass classification, which may be of independent interest.
When there are two interventions, we establish that there always exists a
strategyproof mechanism, and provide an algorithm for learning such a
mechanism. For three or more interventions, we provide an algorithm for
learning a strategyproof mechanism if there exists a sufficiently large gap in
the principal's rewards between different interventions. Finally, we
empirically evaluate our model using real-world panel data collected from
product sales over 18 months. We find that our methods compare favorably to
baselines which do not take strategic interactions into consideration, even in
the presence of model misspecification.
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