Private Mechanism Design via Quantile Estimation

Part of International Conference on Representation Learning 2025 (ICLR 2025) Conference

Bibtex Paper Supplemental

Authors

Yuanyuan Yang, Tao Xiao, Bhuvesh Kumar, Jamie Morgenstern

Abstract

We investigate the problem of designing differentially private (DP), revenue-maximizing single item auction. Specifically, we consider broadly applicable settings in mechanism design where agents' valuation distributions are **independent**, **non-identical**, and can be either **bounded** or **unbounded**. Our goal is to design such auctions with **pure**, i.e., $(\epsilon,0)$ privacy in polynomial time. In this paper, we propose two computationally efficient auction learning framework that achieves **pure** privacy under bounded and unbounded distribution settings. These frameworks reduces the problem of privately releasing a revenue-maximizing auction to the private estimation of pre-specified quantiles. Our solutions increase the running time by polylog factors compared to the non-private version. As an application, we show how to extend our results to the multi-round online auction setting with non-myopic bidders. To our best knowledge, this paper is the first to efficiently deliver a Myerson auction with **pure** privacy and near-optimal revenue, and the first to provide such auctions for **unbounded** distributions.