2008
DOI: 10.1007/978-3-540-79309-0_27
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The Price of Stochastic Anarchy

Abstract: We consider the solution concept of stochastic stability, and propose the price of stochastic anarchy as an alternative to the price of (Nash) anarchy for quantifying the cost of selfishness and lack of coordination in games. As a solution concept, the Nash equilibrium has disadvantages that the set of stochastically stable states of a game avoid: unlike Nash equilibria, stochastically stable states are the result of natural dynamics of computationally bounded and decentralized agents, and are resilient to sma… Show more

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Cited by 18 publications
(26 citation statements)
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References 25 publications
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“…Our results are most similar to those from Blum et al [5] and differ from other previous work [6,16,7,17,9,2] (as well as Karakostas et al [10] who model oblivious users in congestion games routing their traffic without regard for congestion) in that we make no assumptions about how irrational or malicious agents should behave. In this sense, we are taking the worst case over adversaries who may engage in sophisticated counter-speculation.…”
Section: Related Worksupporting
confidence: 85%
See 1 more Smart Citation
“…Our results are most similar to those from Blum et al [5] and differ from other previous work [6,16,7,17,9,2] (as well as Karakostas et al [10] who model oblivious users in congestion games routing their traffic without regard for congestion) in that we make no assumptions about how irrational or malicious agents should behave. In this sense, we are taking the worst case over adversaries who may engage in sophisticated counter-speculation.…”
Section: Related Worksupporting
confidence: 85%
“…Chung et al [7] study the price of stochastic anarchy for the load balancing game on unrelated machines, which may be viewed as a smoothed analysis of the price of anarchy in a setting in which players are imperfect, who with some small probability make mistakes, playing random actions rather than best responses. They show that imperfect play can actually improve social welfare, by showing that the price of stochastic anarchy is bounded by a function of the number of players and machines, whereas the price of anarchy can be unboundedly large.…”
Section: Related Workmentioning
confidence: 99%
“…A related, more detailed summary can be found in [3], in which adaptive learning and imitation dynamics are applied to a load balancing game.…”
Section: Adaptive Learning and Imitation Dynamicsmentioning
confidence: 99%
“…Whenever there is an overflow, the algorithm drops only packets that belong to this flow. 3 The Prince algorithm described in [7] works in a similar manner. The algorithm in [10] was aiming to fulfill, among others, the following two objectives.…”
Section: Introductionmentioning
confidence: 99%
“…Chung et al [9] study the price of anarchy of stochastically stable states of noisy imitation dynamics. They show that the price of anarchy of such states is bounded in the case of unrelated machine scheduling.…”
Section: Introductionmentioning
confidence: 99%