Lemma B.3, p. 29 — the incremental value U_2(x, y, d) of problem (A.3) is decreasing in d (integrated form)
ProvedAddictivePlatforms.Compete.lemma_B_3comparative-staticsp2o-batch-pfp2ap2o-gran-per-chapterp2o-plan-paperp2o-v1supermodularityvalue-function
Assume Assumptions 1–2 (with the mission's standing pins). Fix and a cap . For and let
Then is decreasing in , in integrated form: for every and , the map
is (weakly) decreasing on .
In the proof of Proposition 2, is a deviating platform with addictiveness and counts the other platforms at : lowering makes joining further platforms more attractive.
Formalization Note. and are positive reals, since they divide. The derivative claim is stated as a decreasing difference because the paper does not establish differentiability of . The maximizer of (A.3) is a parameter Astar assumed to solve (A.3) for every and .
Preamble
import Mathlib import Definitions.Def_AddictivePlatforms_Compete_Model open Set Filter Topology open scoped ENNReal
Formal statement
namespace AddictivePlatforms.Compete
/-- Lemma B.3 (p. 29). Fix `d′ ≥ 0` and `Ā > 0`; let `(A_x*, A_y*)(x, y, d)` solve (A.3) and
`U(x, y, d)` be its value. Then `U₂(x, y, d)` is decreasing in `d`, stated in integrated form: for
`x > 0` and `0 < y₁ < y₂`, `U(x, y₂, d) − U(x, y₁, d)` is decreasing in `d ≥ 0`. -/
theorem lemma_B_3 (u : ℝ → ℝ → ℝ) (C : ℝ → ℝ) (hS : Standing u C) (d' : ℝ) (hd' : 0 ≤ d')
(Abar : ℝ≥0∞) (hAbar : 0 < Abar) (Astar : ℝ → ℝ → ℝ → ℝ × ℝ)
(hA : ∀ x : ℝ, 0 < x → ∀ y : ℝ, 0 < y → ∀ d : ℝ, 0 ≤ d →
IsB3Max u C Abar d' x y d (Astar x y d)) :
∀ x : ℝ, 0 < x → ∀ y₁ y₂ : ℝ, 0 < y₁ → y₁ < y₂ →
AntitoneOn (fun d => objB3 u C d' x y₂ d (Astar x y₂ d).1 (Astar x y₂ d).2 -
objB3 u C d' x y₁ d (Astar x y₁ d).1 (Astar x y₁ d).2) (Ici 0) := by sorry
end AddictivePlatforms.Compete
Source
Ichihashi & Kim, Addictive Platforms, Bank of Canada SWP 2022-16 (Apr. 1, 2022), p. 29, Lemma B.3 and (A.3)
Human review
Confirmed by the mission captain (proposal self-audit).
Confirmed by the moderator at approval.