Papers for
online marketplace designers
Papers whose findings have a practical use for this group, as judged from the abstract. Open a paper to read what it means in practice.
Improved algorithm boosts online matching with weighted edges beyond 55 percent
Online Edge-Weighted Matching Beyond 0.55
Abstract: We give a $0.556195$-competitive randomized algorithm for edge-weighted online bipartite matching with free disposal, improving the $0.5368$ guarantee of Blanc and Charikar. The result holds for arbitrary nonnegative edge weights and any input sequence fixed independently of the algorithm's randomness. Our algorithm builds on online correlated selection, introduced by Fahrbach, Huang, Tao, and Zadimoghaddam, and its multiway extension due to Blanc and Charikar. Our main contribution is a state-dependent primal--dual analysis of correlated selection. At each weight threshold, we track the state of the selection process jointly with an auxiliary failure event. The analysis accounts for arrivals below the threshold, which change the state without improving the matching value at that threshold. A potential function bounds the dual increase in both cases. We instantiate the analysis with an explicit win map that assigns a common score to an initial range of states. Its selection inequalities are verified by a finite computer-assisted proof covering every required candidate multiplicity and every real threshold; the verifiers are available in an accompanying repository. Triangular unit-weight inputs asymptotically attain the guarantee of the underlying ideal algorithm, proving that its analysis is tight.
Optimal design balances costs and values in self-financing events
Optimally Curating an Event
Abstract: We study the optimal design of a self-financing event, a problem that requires balancing the recruitment of costly, positive-value participants with revenue-generating agents who may impose negative values on the event. We introduce a novel two-sided mechanism design framework with plus agents equipped with private costs and positive impact, and minus agents with private values and negative impact upon inclusion in the event, to maximize the overall quality of the event under a budget-balanced (BB) constraint so that the designer does not run a deficit. We conduct a comprehensive study on the theory of optimal event curation on various utility functions. For additive utility, we fully characterize the optimal incentive-compatible Bayesian mechanism under both the ex-ante and ex-post BB constraints. For submodular utility, we propose an ex-ante BB mechanism that achieves a constant-factor approximation to the optimal Bayesian mechanism.
Optimal auctions maximize revenue with identical item values
Optimal Multi-Item Auctions with I.I.D. Values
Abstract: We study revenue-maximizing multi-item auctions under dominant-strategy incentive compatibility (DSIC) and ex-post individual rationality. Buyers have additive valuations, and all item values are independent draws from a common finite distribution. For every two-point distribution and arbitrary numbers of buyers and items, we give an explicit deterministic mechanism that is optimal among all randomized mechanisms satisfying these requirements, together with a polynomial-time algorithm for computing the optimal expected revenue. For general finite-support distributions, computing the exact optimal revenue is $\#\mathrm P$-hard, both for a single buyer with an arbitrary number of items and for two items with an arbitrary number of buyers. For a single buyer, we also establish hardness of computing an optimal mechanism. Building on prior work, we also obtain exact and approximate algorithms under different parameter restrictions. Exact polynomial-time optimization is possible whenever any two of the buyer count, item count, and support size are fixed. When only the item count is fixed, a polynomial-time approximation scheme constructs a mechanism with expected revenue at least a $1-\varepsilon$ fraction of the optimum for every fixed $0<\varepsilon<1$. All these algorithms satisfy DSIC and ex-post individual rationality.
Language models help decide where to place product recommendations on search pages
Language Models for Page-Level Layout Decisions in E-commerce Search
Abstract: E-commerce search pages are critical touchpoints for millions of online shoppers. While traditional search engines return a ranked list of results, modern E-commerce search pages increasingly incorporate recommender system modules -- for example, secondary stacks that surface alternative product groupings at specific positions. When introduced appropriately, secondary stacks can improve user engagement; however, suboptimal placement may disrupt browsing flow and degrade the primary results. Unlike traditional search ranking, where evaluation techniques such as interleaving are well established, evaluating page-level layout changes e.g., when and where to insert a secondary stack remains challenging without costly online A/B testing. To address this, we study offline methods for evaluating whether a given layout decision -- specifically, the inclusion of a secondary stack at a particular position -- is beneficial to users. We investigate language models as scalable evaluators by comparing direct prompt-based, prompt-derived feature, and representation-based methods. Our results show that representation-based approaches consistently outperform prompt-based judging in predicting user engagement, suggesting they provide a reliable foundation for offline layout evaluation in E-commerce search.