Distributed Multiagent Resource
Allocation In Diminishing
Marginal Return Domains
Yoram Bachrach(Hebew University)
Jeffrey S. Rosenschein (Hebrew University)
Outline
 Multiagent Resource Allocation (MARA)
 General problem
 Applications
 Centralized and decentralized mechanisms
 Selfish behavior challenge
 Specific restricted domain
 VCG solution in restricted domain
 Allocation by interaction
 Market motivation behind method
 Allocation protocol and suggested strategies
 Convergence to optimal allocation
 Strategic and selfish behaviour
 Expected time to convergence
 Conclusions and future research
Multiagent Resource Allocation
 Allocating resources to users
 Scarce resources
 Selfish agents with private information
 Both users and resource owners
 An allocation maps resources to users
MARA Applications
 Industrial procurement
 Satellite resources
 Tasks in manufacturing systems
 Grid computing
 RF spectrum and coverage
 …
MARA Domain Properties
 Divisible / Indivisible
 Can parts of a single resource be allocated to several agents?
 Sharable / Non-Sharable
 Can a resource be allocated to several agents simultaneously?
 Single-Unit / Multi-Unit
 Are there bundles of identical resources?
 Transferable / Non Transferable Utility
 Can agents compensate by transferring utility among them?
MARA Approaches
 Attempt to maximize social welfare
 Other possible goals – Maximin, fairness, …
 There may be more than one optimal allocation
 Centralized mechanisms
 A central mechanism gets the agents’ preferences and chooses
an outcome
 Decentralized approaches
 Agents actively participate in choosing the outcome
 Problem – agents are selfish and attempt to maximize
their own utility
Centralized Mechanisms
 The mechanism must elicit the agents’ private information
about allocations
 But agents may manipulate to increase their own utility
 We are interested in incentive compatible mechanisms
 Agents reply truthfully, under a certain rational behavior
 Rational behavior captured in a game theoretic solution concept
 Vickery-Clarke-Groves (VCG) approach
 Tax agents to make truth telling is a dominant strategy
 Strategyproof, allocatively efficient but only weakly budget balanced
Distributed Mechanisms
 Central mechanisms may not be
appropriate in distributed environments
Hard to establish a trusted central authority
Scalability concerns – the central mechanism
may be a performance bottleneck
 Have agents interact among themselves
to choose the allocation
Need to define the protocol for interaction
Selfish agents may still manipulate
Specific Domain
 Set of identical agents
 Each agent only requires a single resource, and does not benefit
from being allocated more than one resource
 Set of resources
 Cannot be divided among agents
 Can be shared among agents
 Diminishing marginal production
 The total utility of the agents who are allocated a certain
resource drops as more agents use that resource
Diminishing Marginal Return
10
10
7
14
7
5
5
15
5
Diminishing Marginal Return
10
10
7
14
7
5
5
15
5
Total production is 10
Diminishing Marginal Return
10
10
7
14
7
5
5
15
5
Total production increases to 14
Diminishing Marginal Return
10
10
7
14
7
5
5
15
5
Total production increased by 4 when adding a single
agent
Marginal production of 4
Diminishing Marginal Return
10
10
7
14
7
5
5
15
5
Total production increased by 1 when adding a single
agent
Marginal production of 1
What needs to be decided?
 A mechanism must decide:
 An allocation – which agent gets which resource
 We want to maximize the social welfare – total production
 Utility transfers
 Agents gain utility due to the allocation
 Resource owners receive nothing
 Resource owners hold the private information
 Eliciting this information requires incentivizing the resource
owners to report their production function
 Requires giving resource owners some of the utility
 We assume the total production across all the
resources can be redistributed in any way
VCG in Restricted Domain
 Easy to compute an optimal allocation
 Resources report total production functions
 Find maximal social welfare by a greedy algorithm
 Assign to the resource with maximal marginal production
 Induce truthfullness by VCG tax
 Requires establishing a trusted central authority
 Trust and security issues, central bottleneck, …
 Weakly budget balanced – some of the total production is
kept in the mechanism and not distributed
Allocation by Interaction
 Define a protocol for interaction between agents and
resource owners
 Simulate a market for services
 Interaction proceeds in discrete time rounds
 Each round determines both an allocation and transfers
 Design protocol and suggest interaction strategies
so that the optimal allocation is always reached
 Challenges
 Achieve the optimal allocation despite selfishness
 Make sure the optimal allocation is reached quickly
Interaction Protocol
R1
R2
R3
Round Payment (5)
Currently on R1,
getting utility 5
Interaction Protocol
R1
R2
R3
Resource Request
Currently on R1,
getting utility 5
Interaction Protocol
R1
R2
R3
Payment Bid (10)
Interaction Protocol
R1
R2
R3
Accept
Switch to R2 with
utility 10
Interaction Protocol
R1
R2
R3
Decline
Stay on R1, with
utility 5
Interaction Protocol
R1
R2
R3
Round Payment 10
Currently on R2
with utility 10
Interaction Protocol
R1
R2
Payment Change (5)
Currently on R2
with utility 5
The Resource Owner’s
Perspective
4
4
13
4
5
5
12
Production – 12
Payments – 10
Utility – 2
Production – 13
Payments – 12
Utility – 1
Chosen Allocation
 The interaction decides both the allocation and
redistribution of the utility
 Agents are allocated the last resource whose bid they accepted
 Agents get the utility as in the last payment bid they accepted
 Resource owners keep the reminder of the production on the
resource not redistributed to the agents
 The allocation may change at the end of every round
 An allocation is stable if once reached it never changes
 Depends on the strategies of the participants
 Agents and resource owners
Suggested Strategy - Agents
 Each round, randomly choose a resource
and request using the resource
If the bid in that resource is better than the
current bid, switch to that resource (accept)
If the bid is lower than the current resource
offers, stay with current resource
Suggested Strategy –
Resource Owners
 Keep the agents’ share of the utility in the level
of the marginal production on the resource
 On round start, offer all the agents allocated to
the resource the current last marginal production
 Answer resource requests with bid of the next
marginal production on the resource
 If accepted, set the bid for all the agents to the new
marginal production by a Payment Change message
 If declined – do nothing
Resource Owners - Example
10
10
4
14
4
1
1
15
1
MP = 4 MP = 1
Protocol Stable Allocation
 Given a set of strategies for the agents and resource owners, a
protocol stable allocation is one that, once reached, never changes
 Under these strategies, no interaction results in an agent switching to a
different resource
 Protocol stable under the suggested strategies
 No agent is ever given a bid higher than what he is currently getting on
his current resource
 Resource owners bid the next marginal production
 There is no resource where the next marginal production is greater than
the current marginal production on other resources
 Similar to greedily allocating agents to resources according to marginal production
Convergence to Optimum
 Under the suggested strategies, the chosen allocation
always converges to the optimal allocation
 Monotonic improvement
 If an agent switches resources, the social welfare increases
 Stability in optimum
 The optimal allocation is protocol stable
 No “local” optima – protocol stable is optimal
 If a non optimal allocation is chosen, there is a possible round
where an agent switches resources
 What about strategic behavior?
Strategic Behavior
 Agents and resource owners have to follow the
protocol, but not the suggested strategies
 Might obtain higher utility by choosing a different
strategy
 Agents may accept a bid lower than what they currently have
 Resource owners may suggest a bid different than the
current marginal production
 Higher, to attract more agents
 Lower, to give a lower share of utility to the agents
 Is such strategic behavior rational for self
interested agents?
Strategic Agents (Our domain)
 If an agent gained from strategic behavior,
we still reach an optimal allocation
If a single agent has deviated from the
suggested strategy and gained utility
 Gained utility: a protocol stable allocation has been
reached, in which the agent gets a higher utility
Then the reached protocol stable allocation is
also optimal
Strategic Resource Owners
 Resource owners who set too high a bid
 Attract more agents but pay more and lose utility
 Resource owners who set too low a bid
 Pay less, but lose agents to competing resources
 who offer higher bids
 When the domain is competitive for resource owners, such a
manipulation is irrational
 Highly competitive settings
 Condition that occurs mostly in environments where there are
many resources with similar marginal production values
 Similar resources or slight changes in marginal production
Strategic Resource Owners
 In our specific domain
 Diminishing marginal return
 Highly competitive for resource owners
 If a resource owner gained from strategic
behavior, we still reach an optimal allocation
 If a single resource owner has deviated from the
suggested strategy and gained utility
 Gained utility: a protocol stable allocation has been reached,
in which the resource owner gets a higher utility
 Then the reached protocol stable allocation is optimal
Convergence Time
 When agents and resource owners behave
rationally, we converge to an optimal allocation
 But how quickly is the optimal allocation reached?
 Under the suggested strategies
Expected time to convergence:
Bound on convergence time:
 Quick polynomial convergence
Related Work
 TFG-MARA survey
 Y. Chevaleyre, P. E. Dunne, U. Endriss, J. Lang, M. Lemaître, N. Maudet, J. Padget, S. Phelps, J. A.
Rodríguez-Aguilar, and P. Sousa. Issues in Multiagent Resource Allocation.
 Distributed mechanism design approaches
 J. Feigenbaum and S. Shenker. Distributed algorithmic mechanism design: Recent results and
future directions.
 Scheduling domains
 B. Heydenreich, R. Muller, and M. Uetz. Decentralization and mechanism design for online
machine scheduling.
 Negotiations over resources
 U. Endriss, N. Maudet, F. Sadri, and F. Toni. Negotiating socially optimal allocations of resources.
 T. W. Sandholm. Contract types for satisficing task allocation.
Conclusions
 A distributed approach to resource allocation in
a specific domain
 Achieves optimal allocation (maximal social welfare)
 No central authority required
 All utility divided among agents and resource owners
 “Strongly budget balanced”
 Quick convergence
 Can a similar approach be applied to other
domains (or more general domains)?

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Bachrachb08

  • 1. Distributed Multiagent Resource Allocation In Diminishing Marginal Return Domains Yoram Bachrach(Hebew University) Jeffrey S. Rosenschein (Hebrew University)
  • 2. Outline  Multiagent Resource Allocation (MARA)  General problem  Applications  Centralized and decentralized mechanisms  Selfish behavior challenge  Specific restricted domain  VCG solution in restricted domain  Allocation by interaction  Market motivation behind method  Allocation protocol and suggested strategies  Convergence to optimal allocation  Strategic and selfish behaviour  Expected time to convergence  Conclusions and future research
  • 3. Multiagent Resource Allocation  Allocating resources to users  Scarce resources  Selfish agents with private information  Both users and resource owners  An allocation maps resources to users
  • 4. MARA Applications  Industrial procurement  Satellite resources  Tasks in manufacturing systems  Grid computing  RF spectrum and coverage  …
  • 5. MARA Domain Properties  Divisible / Indivisible  Can parts of a single resource be allocated to several agents?  Sharable / Non-Sharable  Can a resource be allocated to several agents simultaneously?  Single-Unit / Multi-Unit  Are there bundles of identical resources?  Transferable / Non Transferable Utility  Can agents compensate by transferring utility among them?
  • 6. MARA Approaches  Attempt to maximize social welfare  Other possible goals – Maximin, fairness, …  There may be more than one optimal allocation  Centralized mechanisms  A central mechanism gets the agents’ preferences and chooses an outcome  Decentralized approaches  Agents actively participate in choosing the outcome  Problem – agents are selfish and attempt to maximize their own utility
  • 7. Centralized Mechanisms  The mechanism must elicit the agents’ private information about allocations  But agents may manipulate to increase their own utility  We are interested in incentive compatible mechanisms  Agents reply truthfully, under a certain rational behavior  Rational behavior captured in a game theoretic solution concept  Vickery-Clarke-Groves (VCG) approach  Tax agents to make truth telling is a dominant strategy  Strategyproof, allocatively efficient but only weakly budget balanced
  • 8. Distributed Mechanisms  Central mechanisms may not be appropriate in distributed environments Hard to establish a trusted central authority Scalability concerns – the central mechanism may be a performance bottleneck  Have agents interact among themselves to choose the allocation Need to define the protocol for interaction Selfish agents may still manipulate
  • 9. Specific Domain  Set of identical agents  Each agent only requires a single resource, and does not benefit from being allocated more than one resource  Set of resources  Cannot be divided among agents  Can be shared among agents  Diminishing marginal production  The total utility of the agents who are allocated a certain resource drops as more agents use that resource
  • 13. Diminishing Marginal Return 10 10 7 14 7 5 5 15 5 Total production increased by 4 when adding a single agent Marginal production of 4
  • 14. Diminishing Marginal Return 10 10 7 14 7 5 5 15 5 Total production increased by 1 when adding a single agent Marginal production of 1
  • 15. What needs to be decided?  A mechanism must decide:  An allocation – which agent gets which resource  We want to maximize the social welfare – total production  Utility transfers  Agents gain utility due to the allocation  Resource owners receive nothing  Resource owners hold the private information  Eliciting this information requires incentivizing the resource owners to report their production function  Requires giving resource owners some of the utility  We assume the total production across all the resources can be redistributed in any way
  • 16. VCG in Restricted Domain  Easy to compute an optimal allocation  Resources report total production functions  Find maximal social welfare by a greedy algorithm  Assign to the resource with maximal marginal production  Induce truthfullness by VCG tax  Requires establishing a trusted central authority  Trust and security issues, central bottleneck, …  Weakly budget balanced – some of the total production is kept in the mechanism and not distributed
  • 17. Allocation by Interaction  Define a protocol for interaction between agents and resource owners  Simulate a market for services  Interaction proceeds in discrete time rounds  Each round determines both an allocation and transfers  Design protocol and suggest interaction strategies so that the optimal allocation is always reached  Challenges  Achieve the optimal allocation despite selfishness  Make sure the optimal allocation is reached quickly
  • 18. Interaction Protocol R1 R2 R3 Round Payment (5) Currently on R1, getting utility 5
  • 23. Interaction Protocol R1 R2 R3 Round Payment 10 Currently on R2 with utility 10
  • 24. Interaction Protocol R1 R2 Payment Change (5) Currently on R2 with utility 5
  • 25. The Resource Owner’s Perspective 4 4 13 4 5 5 12 Production – 12 Payments – 10 Utility – 2 Production – 13 Payments – 12 Utility – 1
  • 26. Chosen Allocation  The interaction decides both the allocation and redistribution of the utility  Agents are allocated the last resource whose bid they accepted  Agents get the utility as in the last payment bid they accepted  Resource owners keep the reminder of the production on the resource not redistributed to the agents  The allocation may change at the end of every round  An allocation is stable if once reached it never changes  Depends on the strategies of the participants  Agents and resource owners
  • 27. Suggested Strategy - Agents  Each round, randomly choose a resource and request using the resource If the bid in that resource is better than the current bid, switch to that resource (accept) If the bid is lower than the current resource offers, stay with current resource
  • 28. Suggested Strategy – Resource Owners  Keep the agents’ share of the utility in the level of the marginal production on the resource  On round start, offer all the agents allocated to the resource the current last marginal production  Answer resource requests with bid of the next marginal production on the resource  If accepted, set the bid for all the agents to the new marginal production by a Payment Change message  If declined – do nothing
  • 29. Resource Owners - Example 10 10 4 14 4 1 1 15 1 MP = 4 MP = 1
  • 30. Protocol Stable Allocation  Given a set of strategies for the agents and resource owners, a protocol stable allocation is one that, once reached, never changes  Under these strategies, no interaction results in an agent switching to a different resource  Protocol stable under the suggested strategies  No agent is ever given a bid higher than what he is currently getting on his current resource  Resource owners bid the next marginal production  There is no resource where the next marginal production is greater than the current marginal production on other resources  Similar to greedily allocating agents to resources according to marginal production
  • 31. Convergence to Optimum  Under the suggested strategies, the chosen allocation always converges to the optimal allocation  Monotonic improvement  If an agent switches resources, the social welfare increases  Stability in optimum  The optimal allocation is protocol stable  No “local” optima – protocol stable is optimal  If a non optimal allocation is chosen, there is a possible round where an agent switches resources  What about strategic behavior?
  • 32. Strategic Behavior  Agents and resource owners have to follow the protocol, but not the suggested strategies  Might obtain higher utility by choosing a different strategy  Agents may accept a bid lower than what they currently have  Resource owners may suggest a bid different than the current marginal production  Higher, to attract more agents  Lower, to give a lower share of utility to the agents  Is such strategic behavior rational for self interested agents?
  • 33. Strategic Agents (Our domain)  If an agent gained from strategic behavior, we still reach an optimal allocation If a single agent has deviated from the suggested strategy and gained utility  Gained utility: a protocol stable allocation has been reached, in which the agent gets a higher utility Then the reached protocol stable allocation is also optimal
  • 34. Strategic Resource Owners  Resource owners who set too high a bid  Attract more agents but pay more and lose utility  Resource owners who set too low a bid  Pay less, but lose agents to competing resources  who offer higher bids  When the domain is competitive for resource owners, such a manipulation is irrational  Highly competitive settings  Condition that occurs mostly in environments where there are many resources with similar marginal production values  Similar resources or slight changes in marginal production
  • 35. Strategic Resource Owners  In our specific domain  Diminishing marginal return  Highly competitive for resource owners  If a resource owner gained from strategic behavior, we still reach an optimal allocation  If a single resource owner has deviated from the suggested strategy and gained utility  Gained utility: a protocol stable allocation has been reached, in which the resource owner gets a higher utility  Then the reached protocol stable allocation is optimal
  • 36. Convergence Time  When agents and resource owners behave rationally, we converge to an optimal allocation  But how quickly is the optimal allocation reached?  Under the suggested strategies Expected time to convergence: Bound on convergence time:  Quick polynomial convergence
  • 37. Related Work  TFG-MARA survey  Y. Chevaleyre, P. E. Dunne, U. Endriss, J. Lang, M. Lemaître, N. Maudet, J. Padget, S. Phelps, J. A. Rodríguez-Aguilar, and P. Sousa. Issues in Multiagent Resource Allocation.  Distributed mechanism design approaches  J. Feigenbaum and S. Shenker. Distributed algorithmic mechanism design: Recent results and future directions.  Scheduling domains  B. Heydenreich, R. Muller, and M. Uetz. Decentralization and mechanism design for online machine scheduling.  Negotiations over resources  U. Endriss, N. Maudet, F. Sadri, and F. Toni. Negotiating socially optimal allocations of resources.  T. W. Sandholm. Contract types for satisficing task allocation.
  • 38. Conclusions  A distributed approach to resource allocation in a specific domain  Achieves optimal allocation (maximal social welfare)  No central authority required  All utility divided among agents and resource owners  “Strongly budget balanced”  Quick convergence  Can a similar approach be applied to other domains (or more general domains)?