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Privacy Games

Published:03 May 2020Publication History
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Abstract

The problem of analyzing the effect of privacy concerns on the behavior of selfish utility-maximizing agents has received much attention lately. Privacy concerns are often modeled by altering the utility functions of agents to consider also their privacy loss [4, 14, 20, 28]. Such privacy-aware agents prefer to take a randomized strategy even in very simple games in which non-privacy-aware agents play pure strategies. In some cases, the behavior of privacy-aware agents follows the framework of Randomized Response, a well-known mechanism that preserves differential privacy.

Our work is aimed at better understanding the behavior of agents in settings where their privacy concerns are explicitly given. We consider a toy setting where agent A, in an attempt to discover the secret type of agent B, offers B a gift that one type of B agent likes and the other type dislikes. As opposed to previous works, B’s incentive to keep her type a secret isn’t the result of “hardwiring” B’s utility function to consider privacy, but rather takes the form of a payment between B and A. We investigate three different types of payment functions and analyze B’s behavior in each of the resulting games. As we show, under some payments, B’s behavior is very different than the behavior of agents with hardwired privacy concerns and might even be deterministic. Under a different payment, we show that B’s BNE strategy does fall into the framework of Randomized Response.

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    • Published in

      cover image ACM Transactions on Economics and Computation
      ACM Transactions on Economics and Computation  Volume 8, Issue 2
      May 2020
      173 pages
      ISSN:2167-8375
      EISSN:2167-8383
      DOI:10.1145/3397966
      Issue’s Table of Contents

      Copyright © 2020 ACM

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      Publication History

      • Published: 3 May 2020
      • Accepted: 1 January 2020
      • Revised: 1 December 2019
      • Received: 1 February 2019
      Published in teac Volume 8, Issue 2

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