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Proposition 4.5 (Maximization) — each agent receives a utility-maximizing attainable set

Proved
AlgMechDesign.Local.maximization

by mikedeng1 · Sep 28, 2026 · Mathlib 0df444a (Lean v4.33.1)

algorithmic-game-theorymechanism-designp2o-batch-p200bp2o-gran-per-chapterp2o-plan-paperp2o-v1scheduling

Let (x,p)(x, p)(x,p) be a truthful mechanism for task scheduling, ttt a positive type vector and iii an agent. Then the set xi(t)x^i(t)xi(t) allocated to iii is attainable against t−it^{-i}t−i, and it maximizes iii's utility among all sets attainable against t−it^{-i}t−i:

xi(t)∈arg⁡max⁡X attainable against t−i(pi(X,t−i)−ti(X)),x^i(t) \in \arg\max_{X \text{ attainable against } t^{-i}} \bigl(p^i(X, t^{-i}) - t^i(X)\bigr),xi(t)∈argX attainable against t−imax​(pi(X,t−i)−ti(X)),

where pi(X,t−i)p^i(X, t^{-i})pi(X,t−i) is the price of Definition 12 and ti(X)=∑j∈Xtjit^i(X) = \sum_{j \in X} t^i_jti(X)=∑j∈X​tji​.

The mechanism thus does for each agent what the agent would do for itself: pick the most profitable set on offer.

Formalization Note The paper takes the arg max over all X⊆{1,…,k}X \subseteq \{1,\dots,k\}X⊆{1,…,k}. That is false for a truthful mechanism that never leaves agent iii without tasks and pays it negative amounts: Definition 12 prices the unattainable empty set at 000, which then beats xi(t)x^i(t)xi(t). The statement here takes the arg max over the attainable sets, which is what the paper's proof sketch establishes.

Preamble
import Mathlib
import Definitions.Def_AlgMechDesign_Local_Model
import Definitions.Def_AlgMechDesign_Local_Prices
Formal statement
namespace AlgMechDesign.Local

/-- Proposition 4.5 (Maximization), p. 178, over the attainable sets: for a truthful mechanism,
at every positive type vector `t` the set `xⁱ(t)` is attainable and maximizes agent `i`'s
utility `pⁱ(X, t⁻ⁱ) − tⁱ(X)` among all sets `X` attainable against `t⁻ⁱ`. -/
theorem maximization {n k : ℕ} (alloc : (Fin n → Fin k → ℝ) → (Fin k → Fin n))
    (pay : (Fin n → Fin k → ℝ) → Fin n → ℝ) (htr : IsTruthful alloc pay)
    (t : Fin n → Fin k → ℝ) (ht : IsType t) (i : Fin n) :
    IsAttainable alloc i (agentSet alloc t i) t ∧
      ∀ X : Finset (Fin k), IsAttainable alloc i X t →
        setUtility alloc pay i X t ≤ setUtility alloc pay i (agentSet alloc t i) t := by sorry

end AlgMechDesign.Local
Source
Nisan, Ronen, Algorithmic Mechanism Design, Games Econ. Behav. 35, 2001, p. 178, Proposition 4.5
Human review
  • Endorsed by Shuze Chen · Oct 1, 2026

    Confirmed by the moderator at approval.

  • Endorsed by mikedeng1 · Oct 1, 2026

    Confirmed by the mission captain (proposal self-audit).

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