RL | ML | ALGO TRADING | TRANSPORTATION | GAME THEORY

Price Elasticity, Cross Elasticity and Nash Equilibrium

Contents:

1. Introduction
2. Concept of Elasticity
3. Measuring Elasticity: Linear Regression
4. Example: Data & Code
5. Dynamic Pricing in Competition: Game Theory
6. Nash Equilibrium

Introduction

One of the biggest challenges in e-commerce is to utilize data mining methods for the improvement of their dynamic pricing policies. Usually these products…

Belief and Best Response, Common Rationality

Introduction

Let’s introduce the idea of solution concept in this section. So far we stressed on representation of payoff for different combinations of unique player’s decisions in the strategic environment. These representations are useless until we apply some model to predict the decision of a given player considering the anticipated decisions…

Variance Reduction with a Baseline

This is an advanced theoretical blog which focusses on one of the most intriguing and complex aspect of policy gradient algorithms. The reader is assumed to have some basic understanding of policy gradient algorithms: A popular class of reinforcement learning algorithms which estimates the gradient for a function approximation. …

Kowshik chilamkurthy

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