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Lecture Multiagent systems - Chapter 7: Reaching agreements

In the remainder of this chapter, we will discuss the process of reaching agreements through negotiation and argumentation. we will start by considering the issue of mechanism design - broadly, what properties we might want a negotiation or argumentation protocol to have - and then go on to discuss auctions, negotiation protocols and strategies, and finally argumentation. | LECTURE 7: Reaching Agreements An Introduction to MultiAgent Systems http://www.csc.liv.ac.uk/~mjw/pubs/imas Reaching Agreements How do agents reaching agreements when they are self interested? In an extreme case (zero sum encounter) no agreement is possible — but in most scenarios, there is potential for mutually beneficial agreement on matters of common interest The capabilities of negotiation and argumentation are central to the ability of an agent to reach such agreements 7- Mechanisms, Protocols, and Strategies Negotiation is governed by a particular mechanism, or protocol The mechanism defines the “rules of encounter” between agents Mechanism design is designing mechanisms so that they have certain desirable properties Given a particular protocol, how can a particular strategy be designed that individual agents can use? 7- Mechanism Design Desirable properties of mechanisms: Convergence/guaranteed success Maximizing social welfare Pareto efficiency Individual . | LECTURE 7: Reaching Agreements An Introduction to MultiAgent Systems http://www.csc.liv.ac.uk/~mjw/pubs/imas Reaching Agreements How do agents reaching agreements when they are self interested? In an extreme case (zero sum encounter) no agreement is possible — but in most scenarios, there is potential for mutually beneficial agreement on matters of common interest The capabilities of negotiation and argumentation are central to the ability of an agent to reach such agreements 7- Mechanisms, Protocols, and Strategies Negotiation is governed by a particular mechanism, or protocol The mechanism defines the “rules of encounter” between agents Mechanism design is designing mechanisms so that they have certain desirable properties Given a particular protocol, how can a particular strategy be designed that individual agents can use? 7- Mechanism Design Desirable properties of mechanisms: Convergence/guaranteed success Maximizing social welfare Pareto efficiency Individual rationality Stability Simplicity Distribution 7- Auctions An auction takes place between an agent known as the auctioneer and a collection of agents known as the bidders The goal of the auction is for the auctioneer to allocate the good to one of the bidders In most settings the auctioneer desires to maximize the price; bidders desire to minimize price 7- Auction Parameters Goods can have private value public/common value correlated value Winner determination may be first price second price Bids may be open cry sealed bid Bidding may be one shot ascending descending 7- English Auctions Most commonly known type of auction: first price open cry ascending Dominant strategy is for agent to successively bid a small amount more than the current highest bid until it reaches their valuation, then withdraw Susceptible to: winner’s curse shills 7- Dutch Auctions Dutch auctions are examples of open-cry descending auctions: auctioneer starts by offering good at artificially high value .