Multifactorial optimization system and method

• US 8,874,477 B2
• Filed: 08/29/2006
• Issued: 10/28/2014
• Est. Priority Date: 10/04/2005
• Status: Active Grant

• Current Assignee: Meadwestvaco (WestRock Company)
• Original Assignee: Meadwestvaco (WestRock Company)
• Inventors: Hoffberg, Steven Mark
• Primary Examiner(s): Wong, Eric T
• Application Number:
  US11/467,931
• Publication Number:
  US 20070087756A1
• Time in Patent Office: 2,982 Days
• Field of Search: 705/35, 455/450, 455/451, 718/104
• US Class Current: 705/37
• CPC Class Codes: G06Q 10/0631 Resource planning, allocation, distributing or scheduling for enterprises or organisations
• CPC Class Codes: G06Q 10/0635 Risk analysis of enterprise or organisation activities
• CPC Class Codes: G06Q 10/06375 Prediction of business process outcome or impact based on a proposed change
• CPC Class Codes: G06Q 10/103 Workflow collaboration or project management
• CPC Class Codes: G06Q 20/065 using e-cash
• CPC Class Codes: G06Q 20/22 Payment schemes or models
• CPC Class Codes: G06Q 20/40 Authorisation, e.g. identification of payer or payee, verification of customer or shop credentials; Review and approval of payers, e.g. check credit lines or negative lists
• CPC Class Codes: G06Q 30/0201 Market modelling; Market analysis; Collecting market data
• CPC Class Codes: G06Q 30/08 Auctions
• CPC Class Codes: G06Q 40/00 Finance; Insurance; Tax strategies; Processing of corporate or income taxes
• CPC Class Codes: G06Q 40/04 Trading; Exchange, e.g. stocks, commodities, derivatives or currency exchange
• CPC Class Codes: G06Q 50/188 Electronic negotiation
• CPC Class Codes: H04W 16/28 using beam steering
• CPC Class Codes: H04W 64/003 locating network equipment
• CPC Class Codes: H04W 72/541 using the level of interference
• CPC Class Codes: H04W 84/18 Self-organising networks, e.g. ad-hoc networks or sensor networks

Abstract

A method for providing unequal allocation of rights among agents while operating according to fair principles, comprising assigning a hierarchal rank to each agent; providing a synthetic economic value to a first set of agents at the a high level of the hierarchy; allocating portions of the synthetic economic value by the first set of agents to a second set of agents at respectively different hierarchal rank than the first set of agents; and conducting an auction amongst agents using the synthetic economic value as the currency. A method for allocation among agents, comprising assigning a wealth generation function for generating future wealth to each of a plurality of agents, communicating subjective market information between agents, and transferring wealth generated by the secure wealth generation function between agents in consideration of a market transaction. The method may further comprise the step of transferring at least a portion of the wealth generation function between agents.

Claims

1. A method for fairly allocating use rights among automated agents based on transactions in consideration of a virtual currency for at least one of (a) at least one communications channel in a network, and (b) at least one computational resource in a computer system, comprising:

determining a use demand function for each of a plurality of automated agents having a consumer agent role, for obtaining the use rights in consideration of the virtual currency;

determining a use supply function for each of a plurality of automated agents having a supply agent role, for relinquishing use rights in consideration of the virtual currency;

wherein at least one of the use demand function and the use supply function is risk responsive;

providing at least one automated agent, having an economic agent role, said at least one automated agent having an economic agent role providing at least one risk-altering economic service to other automated agents independent of a use or supply of the rights, through at least one transaction in consideration of the virtual currency, selected from the group consisting of loaning an economic resource, borrowing an economic resource, insuring a use, guaranteeing a payment use, arbitraging a risk, buying use options, selling use options, buying use futures, and selling use futures;

generating by an automated processor amounts of the virtual currency on behalf of at least one automated agent over time; and

outputting, from the automated processor, information defining a market economy optimization representing a consistent set of self interested transactions between the automated agents having respective roles as consumer agents, supply agents and economic agents, wherein the risk-responsive at least one of the use demand function and the use supply function has a value dependent on the risk-altering economic service.

2. The method according to claim 1, wherein the use comprises a right to access at least one communications channel in a communication network.

3. The method according to claim 1, wherein the use comprises a right to access at least one communications channel in an ad hoc communication network.

4. The method according to claim 1, wherein the use comprises a right to access at least one communications channel in a multihop ad hoc communication network.

5. The method according to claim 1, wherein the use comprises a right to access at least one computational resource in a computer system.

6. The method according to claim 1, wherein the use comprises a right to access at least one processor core in a computer system.

7. The method according to claim 1, wherein the use comprises a right to access at least one communication channel in a computer system.

8. The method according to claim 1, wherein the use comprises a right to access at least one memory location in a computer system.

9. The method according to claim 1, wherein the use comprises a right to access at least one peripheral device in a computer system.

10. The method according to claim 1, wherein the use comprises a right to access at least one functional processor element in a computer system.

11. The method according to claim 1, wherein the economic market optimization comprises issuing, by an automated agent, a loan for economic consideration.

12. The method according to claim 1, wherein the economic market optimization comprises issuing, by an automated agent, a loan for consideration in kind.

13. The method according to claim 1, wherein the economic market optimization comprises borrowing, by the at least one automated agent having an economic agent role, an economic resource for economic consideration.

14. The method according to claim 1, wherein the economic market optimization comprises borrowing, by the at least one automated agent having an economic agent role, an economic resource for consideration in kind.

15. The method according to claim 1, wherein the economic market optimization comprises insuring, by the at least one automated agent having an economic agent role, a use of a resource.

16. The method according to claim 1, wherein the economic market optimization comprises guaranteeing, by the at least one automated agent having an economic agent role, a payment for use of a resource.

17. The method according to claim 1, wherein the consistent set of self interested transactions comprises acquisition and sale, by an automated agent, of the same resource in a series of transactions.

18. The method according to claim 1, wherein the economic market optimization comprises selling, by an automated agent, an option for purchase of a resource.

19. The method according to claim 1, wherein the economic market optimization comprises buying, by an automated agent, an option for purchase of a resource.

20. The method according to claim 1, wherein the economic market optimization comprises selling, by an automated agent, a future contract for transferring a use at a later time.

21. The method according to claim 1, wherein the economic market optimization comprises buying, by an automated agent, a future contract for acquiring a use at a later time.

22. The method according to claim 1, further comprising assigning to each of at least two automated agents a hierarchal rank, wherein one of the at least two automated agents has a higher rank than another of the at least two automated agents, and delegating an economic right from the higher ranked automated agent to the lower ranked automated agent.

23. The method according to claim 1, further comprising assigning to each of at least two automated agents a hierarchal rank, wherein one of the at least two automated agents has a higher rank than another of the at least two automated agents, and allocating an economic right held by lower ranked automated agent on behalf of the higher ranked automated agent.

24. The method according to claim 1, further comprising assigning to each of a plurality of automated agents a rank, and delegating rights from a lower ranked automated agent to the higher ranked automated agent, separately from the market economy optimization.

25. The method according to claim 1, further comprising transacting, in accordance with the market economy optimization, between the automated agents using a virtual currency.

26. The method according to claim 1, further comprising transacting, in accordance with the market economy optimization, between the automated agents using a virtual currency, each automated agent having an associated virtual currency generation function.

27. The method according to claim 1, further comprising transacting, in accordance with the market economy optimization, between the automated agents using the virtual currency, each automated agent having an associated virtual currency generation function, the virtual currency having a virtual currency expiration function.

28. The method according to claim 1, further comprising transacting, in accordance with the market economy optimization, between the automated agents using a cryptographically authenticated virtual currency.

29. The method according to claim 1, further comprising transacting, in accordance with the market economy optimization, between the automated agents using the virtual currency, wherein respective different automated agents have respectively different currency generation functions and the virtual currency is subject to changes in value according to currency expiration functions.

30. The method according to claim 1, wherein said market economy optimization comprises an auction.

31. The method according to claim 1, wherein said market economy optimization comprises a multifactorial auction.

32. The method according to claim 1, wherein said market economy optimization allocates communication bandwidth within a communication network.

33. The method according to claim 1, wherein said market economy optimization operates according to a Vickrey-Clark-Groves combinatorial auction framework.

34. The method according to claim 1, further comprising transacting, in accordance with the market economy optimization, between the automated agents using a virtual currency, wherein an economic value of the virtual currency varies in dependence on a location of an automated agent.

35. The method according to claim 1, further comprising transacting, in accordance with the market economy optimization, between the automated agents using a virtual currency produced by a respective automated agent using a generation function, and transferring between respective automated agents, at least a portion of the generation function.

36. The method according to claim 1, wherein the market economy optimization defines an economic compensation to at least one consumer automated agent for deferring to another consumer automated agent.

37. A system, adapted to allocate use rights among automated agents, comprising:

at least one memory, configured to store a use demand function for each of a plurality of automated agents assuming a consumer agent role representing an economic value for obtaining control over use of the rights, a use supply function for each of a plurality of automated agents assuming a supply agent role representing an economic value for relinquishing control over use of the rights, and economic valuation characteristics of at least one automated agent assuming an economic agent role and providing at least one risk-altering service to other automated agents independent of a use or supply of the rights, selected from the group consisting of loaning an economic resource, borrowing an economic resource, insuring a use, guaranteeing a payment, arbitraging a risk, buying use options, selling use options, buying use futures, and selling use futures, wherein at least one of the use demand function and the use supply function is risk responsive;

at least one processor, configured to automatically generate amounts of a virtual currency having economic value over time on behalf of at least one automated agent, and to compute a market economy optimization based on at least the stored use demand functions, the stored use supply functions, and the stored economic characteristics, representing a consistent set of self interested transactions between the automated agents assuming roles respectively as consumer agents, supply agents and economic agents, wherein the risk-responsive at least one of the use demand function and the use supply function has a value dependent on the risk-altering service; and

a port, configured to convey at least one signal selectively dependent on the market economy optimization.

38. The system according to claim 37, wherein the use comprises a right to access or control at least one communications channel.

39. The system according to claim 37, wherein the use comprises a right to access or control at least one computational resource in a computer system.

40. The system according to claim 37, wherein the use comprises a right to access or control at least one memory in a computer system.

41. The system according to claim 37, wherein the use comprises a right to access or control at least one peripheral device in a computer system.

42. The system according to claim 37, wherein the economic market optimization comprises a loan between respective automated agents.

43. The system according to claim 37, wherein the economic market optimization comprises insuring a use of a resource.

44. The system according to claim 37, wherein the economic market optimization comprises guaranteeing a payment for use of a resource.

45. The system according to claim 37, wherein the economic market optimization comprises an option for purchase of a resource.

46. The system according to claim 37, wherein the economic market optimization comprises a future contract for transferring a use at a later time.

47. The system according to claim 37, wherein the consistent set of self interested transactions comprises acquisition and sale, by an automated agent, of the same resource in a series of transactions.

48. The system according to claim 37, wherein each of at least two automated agents are assigned a hierarchal rank, wherein one of the at least two automated agents has a higher rank than another of the at least two automated agents, further comprising at least one of:

delegating an economic right from the higher ranked automated agent to the lower ranked automated agent; and

allocating an economic right held by lower ranked automated agent on behalf of the higher ranked automated agent.

49. The system according to claim 37, wherein each of a plurality of automated agents are assigned a respective a rank, wherein the at least one processor is configured to automatically delegate rights from a lower ranked automated agent to the higher ranked automated agent, separately from the market economy optimization.

50. The system according to claim 37, wherein the at least one processor is configured to automatically account between automated agents in accordance with the market economy optimization, using a virtual currency.

51. The system according to claim 37, wherein the at least one processor is configured to automatically account between automated agents in accordance with the market economy optimization using a cryptographically authenticated virtual currency.

52. The system according to claim 37, wherein the at least one processor is configured to automatically account between automated agents in accordance with the market economy optimization using a virtual currency, each automated agent having at least one of a respective virtual currency generation function, and the virtual currency is subject to a respective virtual currency expiration function, and a virtual currency valuation function dependent on a location of an automated agent.

53. The system according to claim 37, wherein said at least one processor is configured to automatically conduct an auction to determine the market economy optimization.

54. The system according to claim 37, wherein said at least one processor is configured to automatically conduct a multifactorial auction to determine the market economy optimization.

55. The system according to claim 37, wherein said at least one processor is configured to automatically conduct a combinatorial auction to determine the market economy optimization.

56. The system according to claim 37, wherein the market economy optimization defines an economic compensation to at least one automated agent having a consumer agent role for deferring to another automated agent having a consumer agent role.

61. The system according to claim 37, wherein the at least one processor is further configured to transact, using the virtual currency, in accordance with the computed market economy optimization, wherein at least one of:

the at least one processor is configured to change a rate of generation or an economic value of the virtual currency in dependence on a defined location, and

the at least one processor is configured to at least one of give or receive at least a portion of a capacity to generate amounts of the virtual currency having economic value over time.

57. A non-transitory computer-readable medium comprising computer-executable instructions for controlling at least one computer processor to perform operations for fairly allocating use rights based on transactions of a virtual currency among agents for at least one of (a) at least one communications channel in a network, and (b) at least one computational resource in a computer system, the operations comprising:

defining a plurality of consumer agents, each having a use demand function, for obtaining the use rights in consideration of the virtual currency;

defining a plurality of supply agents, each having a use supply function, for relinquishing use rights in consideration of the virtual currency;

wherein at least one of the use demand function and the use supply function is risk responsive;

defining a risk-altering service of at least one economic agent, performed in consideration of the virtual currency, distinct from a use or supply of the rights, selected from the group consisting of loaning an economic resource, borrowing an economic resource, insuring a use, guaranteeing a use, arbitraging a risk, buying use options, selling use options, buying use futures, and selling use futures;

generating amounts of the virtual currency on behalf of at least one agent over time; and

outputting information defining a market economy optimization representing a consistent set of self interested transactions between the consumer agents, supply agents and at least one economic agent, wherein the risk-responsive at least one of the use demand function and the use supply function has a value dependent on the risk-altering service.

62. The non-transitory computer readable medium according to claim 57, further comprising transacting between the agents using a virtual currency in accordance with the market economy optimization, wherein at least one of:

an economic value of the virtual currency varies in dependence on a location of an agent, and at least a portion of a capacity to generate amounts of the virtual currency on behalf of at least one agent over time is transferred between respective agents.

58. A fair rights allocation method, comprising:

defining a respective use demand function for each of a plurality of automated consumer agents, for obtaining the use rights in consideration of the virtual currency;

defining respective a use supply function for each of a plurality of supply automated agents, for relinquishing use rights in consideration of the virtual currency;

wherein at least one of the use demand function and the use supply function is risk responsive;

defining a service valuation function for at least one economic automated agent, for a risk-altering service performed in consideration of the virtual currency, the economic agent providing at least one service distinct from a use or supply of the rights, selected from the group consisting of loaning a resource, borrowing a resource, insuring a use, guaranteeing a payment use, arbitraging a risk, buying use options, selling use options, buying use futures, and selling use futures;

automatically generating amounts of a virtual currency over time on behalf of at least one automated agent; and

computing, with an automated processing system, a market economy optimization representing a consistent set of self-interested transactions between the consumer automated agents, supply automated agents and the at least one economic automated agent, in consideration of payments of the virtual currency, for fairly allocating use rights for at least one of (a) at least one communications channel in a network, and (b) at least one computational resource in a computer system, wherein the risk-responsive at least one of the use demand function and the use supply function has a value dependent on the risk-altering service.

63. The fair rights allocation method according to claim 58, further comprising transacting between the automated agents using a virtual currency in accordance with the market economy optimization, wherein at least one of:

an economic value of the virtual currency varies in dependence on a location of an agent, and at least a portion of a capacity to generate amounts of the virtual currency on behalf of at least one automated agent over time is transferred between respective automated agents.

59. A method for fairly allocating use rights among automated agents for at least one of (a) at least one communications channel in a network, and (b) at least one computational resource in a computer system, comprising:

determining a use demand function for each of a plurality of consumer agents;

determining a use supply function for each of a plurality of supply agents;

wherein at least one of the use demand function and the use supply function is risk responsive;

providing at least one economic agent, said economic agent providing at least one risk-altering service to other agents performed by an automated processing system, selected from the group consisting of loaning an economic resource, borrowing an economic resource, insuring a use, guaranteeing a payment, arbitraging use rights, buying use options, selling use options, buying use futures, and selling use futures;

wherein a single agent can fulfill one or more role selected from the roles of supply agent, consumer agent, and economic agent, and wherein each respective role may have independent valuation with respect to the use;

outputting, from an automated processing system, information defining a market economy optimization representing a consistent set of self interested transactions between the consumer agents, supply agents and economic agents, wherein the risk-responsive at least one of the use demand function and the use supply function has a value dependent on the risk-altering service; and

transacting, in accordance with the market economy optimization, between the agents using a virtual currency, wherein an economic value of the virtual currency varies in dependence on a location of an agent.

60. A method for fairly allocating use rights among automated agents for at least one of (a) at least one communications channel in a network, and (b) at least one computational resource in a computer system, comprising:

determining a use demand function for each of a plurality of consumer agents;

determining a use supply function for each of a plurality of supply agents;

wherein at least one of the use demand function and the use supply function is risk responsive;

providing at least one economic agent, said economic agent providing at least one risk- modifying service to other agents performed by an automated processing system, selected from the group consisting of loaning an economic resource, borrowing an economic resource, insuring a use, guaranteeing a payment, arbitraging use rights, buying use options, selling use options, buying use futures, and selling use futures;

wherein a single agent can fulfill one or more role selected from the roles of supply agent, consumer agent, and economic agent, and wherein each respective role may have independent valuation with respect to the use;

outputting, from an automated processing system, information defining a market economy optimization representing a consistent set of self interested transactions between the consumer agents, supply agents and economic agents, wherein the risk-responsive at least one of the use demand function and the use supply function has a value dependent on the risk- modifying service; and

transacting, in accordance with the market economy optimization, between the agents using a virtual currency produced by a respective agent using a generation function, and transferring between respective agents, at least a portion of the generation function.

64. A method for allocating use rights among automated agents, comprising:

communicating, through an automated communication network, between at least one automated consumer agent, having a risk-sensitive demand value function representing a risk-dependent valuation for obtaining the rights in consideration of a virtual currency, at least one automated supply agent, having a supply value function representing a valuation for relinquishing rights in consideration of the virtual currency, and at least one automated economic agent, having an economic value function for at least one risk modifying derivative transaction distinct from obtaining or relinquishing of the rights, selected from the group consisting of a loan transaction, an insurance transaction, a guaranty transaction, a risk arbitrage transaction, an option transaction, and a future transaction, representing a valuation for engaging in the risk modifying derivative transaction which does not involve obtaining or relinquishing the right, in consideration of a virtual currency;

transacting the risk modifying derivative transaction with respect to the right between at least one automated consumer agent and at least one automated economic agent;

automatically defining with at least one automated processor, based on said communicating, a market economy optimization representing a consistent set of self interested transactions between the automated agents having respective roles as consumer agents and supply agents, comprising at least one transaction in which the at least one consumer agent obtains the right, and the at least one supply agent relinquishes the right;

communicating, information defining at least a portion of the defined market economy optimization.