Bill Estimation in Simplified Memory Progressive Second Price Auctions

Danielle Movsowitz-Davidow; Nir Lavi; Orna Agmon Ben-Yehuda

doi:10.1007/978-3-030-36027-6_5

Bill Estimation in Simplified Memory Progressive Second Price Auctions

Danielle Movsowitz-Davidow, Nir Lavi, Orna Agmon Ben-Yehuda

Caesarea Rothschild Institute for Interdisciplinary Applications of Computer Science (C.R.I.)

Research output: Chapter in Book/Report/Conference proceeding › Conference contribution › peer-review

Abstract

Vertical elasticity, the ability to add resources on-the-fly to a virtual machine or container, improves the aggregate benefit clients get from a given cloud hardware, namely the social welfare. To maximize the social welfare in vertical elasticity clouds, mechanisms which elicit resource valuation from clients are required. Full Vickrey-Clarke-Groves (VCG) auctions, which allocate resources to optimize the social welfare, are NP-hard and too computationally-complex for the task. However, VCG-like auctions, which have a reduced bidding language compared with VCG, are fast enough. Such is the Simplified Memory Progressive Second Price Auction (SMPSP). A key problem in VCG-like auctions is that they are not completely truthful, requiring participants, who wish to maximize their profits, to estimate their future bills. Bill estimation is particularly difficult since the bill is governed by other participants’ (changing) private bids. We present methods to estimate future bills in noisy, changing, VCG-like auction environments. The bound estimation method we present leads to an increase of 3% in the overall social welfare.

Original language	English
Title of host publication	Economics of Grids, Clouds, Systems, and Services - 16th International Conference, GECON 2019, Proceedings
Editors	Karim Djemame, Jörn Altmann, José Ángel Bañares, Orna Agmon Ben-Yehuda, Maurizio Naldi
Publisher	Springer
Pages	54-62
Number of pages	9
ISBN (Print)	9783030360269
DOIs	https://doi.org/10.1007/978-3-030-36027-6_5
State	Published - 2019
Event	16th International Conference on the Economics of Grids, Clouds, Systems, and Services, GECON 2019 - Leeds, United Kingdom Duration: 17 Sep 2019 → 19 Sep 2019

Publication series

Name	Lecture Notes in Computer Science (including subseries Lecture Notes in Artificial Intelligence and Lecture Notes in Bioinformatics)
Volume	11819 LNCS
ISSN (Print)	0302-9743
ISSN (Electronic)	1611-3349

Conference

Conference	16th International Conference on the Economics of Grids, Clouds, Systems, and Services, GECON 2019
Country/Territory	United Kingdom
City	Leeds
Period	17/09/19 → 19/09/19

Bibliographical note

Publisher Copyright:
© Springer Nature Switzerland AG 2019.

Keywords

Bill estimation
Multi armed bandit problem
Progressive second price auction
Resource allocation

ASJC Scopus subject areas

Theoretical Computer Science
General Computer Science

Access to Document

10.1007/978-3-030-36027-6_5

Cite this

Movsowitz-Davidow, D., Lavi, N., & Agmon Ben-Yehuda, O. (2019). Bill Estimation in Simplified Memory Progressive Second Price Auctions. In K. Djemame, J. Altmann, J. Á. Bañares, O. Agmon Ben-Yehuda, & M. Naldi (Eds.), Economics of Grids, Clouds, Systems, and Services - 16th International Conference, GECON 2019, Proceedings (pp. 54-62). (Lecture Notes in Computer Science (including subseries Lecture Notes in Artificial Intelligence and Lecture Notes in Bioinformatics); Vol. 11819 LNCS). Springer. https://doi.org/10.1007/978-3-030-36027-6_5

Movsowitz-Davidow, Danielle ; Lavi, Nir ; Agmon Ben-Yehuda, Orna. / Bill Estimation in Simplified Memory Progressive Second Price Auctions. Economics of Grids, Clouds, Systems, and Services - 16th International Conference, GECON 2019, Proceedings. editor / Karim Djemame ; Jörn Altmann ; José Ángel Bañares ; Orna Agmon Ben-Yehuda ; Maurizio Naldi. Springer, 2019. pp. 54-62 (Lecture Notes in Computer Science (including subseries Lecture Notes in Artificial Intelligence and Lecture Notes in Bioinformatics)).

@inproceedings{75dd7871fc44439989ecc58509d421c0,

title = "Bill Estimation in Simplified Memory Progressive Second Price Auctions",

abstract = "Vertical elasticity, the ability to add resources on-the-fly to a virtual machine or container, improves the aggregate benefit clients get from a given cloud hardware, namely the social welfare. To maximize the social welfare in vertical elasticity clouds, mechanisms which elicit resource valuation from clients are required. Full Vickrey-Clarke-Groves (VCG) auctions, which allocate resources to optimize the social welfare, are NP-hard and too computationally-complex for the task. However, VCG-like auctions, which have a reduced bidding language compared with VCG, are fast enough. Such is the Simplified Memory Progressive Second Price Auction (SMPSP). A key problem in VCG-like auctions is that they are not completely truthful, requiring participants, who wish to maximize their profits, to estimate their future bills. Bill estimation is particularly difficult since the bill is governed by other participants{\textquoteright} (changing) private bids. We present methods to estimate future bills in noisy, changing, VCG-like auction environments. The bound estimation method we present leads to an increase of 3% in the overall social welfare.",

keywords = "Bill estimation, Multi armed bandit problem, Progressive second price auction, Resource allocation",

author = "Danielle Movsowitz-Davidow and Nir Lavi and {Agmon Ben-Yehuda}, Orna",

note = "Publisher Copyright: {\textcopyright} Springer Nature Switzerland AG 2019.; 16th International Conference on the Economics of Grids, Clouds, Systems, and Services, GECON 2019 ; Conference date: 17-09-2019 Through 19-09-2019",

year = "2019",

doi = "10.1007/978-3-030-36027-6_5",

language = "English",

isbn = "9783030360269",

series = "Lecture Notes in Computer Science (including subseries Lecture Notes in Artificial Intelligence and Lecture Notes in Bioinformatics)",

publisher = "Springer",

pages = "54--62",

editor = "Karim Djemame and J{\"o}rn Altmann and Ba{\~n}ares, {Jos{\'e} {\'A}ngel} and {Agmon Ben-Yehuda}, Orna and Maurizio Naldi",

booktitle = "Economics of Grids, Clouds, Systems, and Services - 16th International Conference, GECON 2019, Proceedings",

address = "Netherlands",

}

Movsowitz-Davidow, D, Lavi, N & Agmon Ben-Yehuda, O 2019, Bill Estimation in Simplified Memory Progressive Second Price Auctions. in K Djemame, J Altmann, JÁ Bañares, O Agmon Ben-Yehuda & M Naldi (eds), Economics of Grids, Clouds, Systems, and Services - 16th International Conference, GECON 2019, Proceedings. Lecture Notes in Computer Science (including subseries Lecture Notes in Artificial Intelligence and Lecture Notes in Bioinformatics), vol. 11819 LNCS, Springer, pp. 54-62, 16th International Conference on the Economics of Grids, Clouds, Systems, and Services, GECON 2019, Leeds, United Kingdom, 17/09/19. https://doi.org/10.1007/978-3-030-36027-6_5

Bill Estimation in Simplified Memory Progressive Second Price Auctions. / Movsowitz-Davidow, Danielle; Lavi, Nir; Agmon Ben-Yehuda, Orna.
Economics of Grids, Clouds, Systems, and Services - 16th International Conference, GECON 2019, Proceedings. ed. / Karim Djemame; Jörn Altmann; José Ángel Bañares; Orna Agmon Ben-Yehuda; Maurizio Naldi. Springer, 2019. p. 54-62 (Lecture Notes in Computer Science (including subseries Lecture Notes in Artificial Intelligence and Lecture Notes in Bioinformatics); Vol. 11819 LNCS).

Research output: Chapter in Book/Report/Conference proceeding › Conference contribution › peer-review

TY - GEN

T1 - Bill Estimation in Simplified Memory Progressive Second Price Auctions

AU - Movsowitz-Davidow, Danielle

AU - Lavi, Nir

AU - Agmon Ben-Yehuda, Orna

N1 - Publisher Copyright: © Springer Nature Switzerland AG 2019.

PY - 2019

Y1 - 2019

N2 - Vertical elasticity, the ability to add resources on-the-fly to a virtual machine or container, improves the aggregate benefit clients get from a given cloud hardware, namely the social welfare. To maximize the social welfare in vertical elasticity clouds, mechanisms which elicit resource valuation from clients are required. Full Vickrey-Clarke-Groves (VCG) auctions, which allocate resources to optimize the social welfare, are NP-hard and too computationally-complex for the task. However, VCG-like auctions, which have a reduced bidding language compared with VCG, are fast enough. Such is the Simplified Memory Progressive Second Price Auction (SMPSP). A key problem in VCG-like auctions is that they are not completely truthful, requiring participants, who wish to maximize their profits, to estimate their future bills. Bill estimation is particularly difficult since the bill is governed by other participants’ (changing) private bids. We present methods to estimate future bills in noisy, changing, VCG-like auction environments. The bound estimation method we present leads to an increase of 3% in the overall social welfare.

AB - Vertical elasticity, the ability to add resources on-the-fly to a virtual machine or container, improves the aggregate benefit clients get from a given cloud hardware, namely the social welfare. To maximize the social welfare in vertical elasticity clouds, mechanisms which elicit resource valuation from clients are required. Full Vickrey-Clarke-Groves (VCG) auctions, which allocate resources to optimize the social welfare, are NP-hard and too computationally-complex for the task. However, VCG-like auctions, which have a reduced bidding language compared with VCG, are fast enough. Such is the Simplified Memory Progressive Second Price Auction (SMPSP). A key problem in VCG-like auctions is that they are not completely truthful, requiring participants, who wish to maximize their profits, to estimate their future bills. Bill estimation is particularly difficult since the bill is governed by other participants’ (changing) private bids. We present methods to estimate future bills in noisy, changing, VCG-like auction environments. The bound estimation method we present leads to an increase of 3% in the overall social welfare.

KW - Bill estimation

KW - Multi armed bandit problem

KW - Progressive second price auction

KW - Resource allocation

UR - http://www.scopus.com/inward/record.url?scp=85076699505&partnerID=8YFLogxK

U2 - 10.1007/978-3-030-36027-6_5

DO - 10.1007/978-3-030-36027-6_5

M3 - Conference contribution

AN - SCOPUS:85076699505

SN - 9783030360269

T3 - Lecture Notes in Computer Science (including subseries Lecture Notes in Artificial Intelligence and Lecture Notes in Bioinformatics)

SP - 54

EP - 62

BT - Economics of Grids, Clouds, Systems, and Services - 16th International Conference, GECON 2019, Proceedings

A2 - Djemame, Karim

A2 - Altmann, Jörn

A2 - Bañares, José Ángel

A2 - Agmon Ben-Yehuda, Orna

A2 - Naldi, Maurizio

PB - Springer

T2 - 16th International Conference on the Economics of Grids, Clouds, Systems, and Services, GECON 2019

Y2 - 17 September 2019 through 19 September 2019

ER -

Movsowitz-Davidow D, Lavi N, Agmon Ben-Yehuda O. Bill Estimation in Simplified Memory Progressive Second Price Auctions. In Djemame K, Altmann J, Bañares JÁ, Agmon Ben-Yehuda O, Naldi M, editors, Economics of Grids, Clouds, Systems, and Services - 16th International Conference, GECON 2019, Proceedings. Springer. 2019. p. 54-62. (Lecture Notes in Computer Science (including subseries Lecture Notes in Artificial Intelligence and Lecture Notes in Bioinformatics)). doi: 10.1007/978-3-030-36027-6_5

Bill Estimation in Simplified Memory Progressive Second Price Auctions

Abstract

Publication series

Conference

Bibliographical note

Keywords

ASJC Scopus subject areas

Access to Document

Other files and links

Fingerprint

Cite this