# Machine Learning-Powered Combinatorial Clock Auction

arXiv: https://arxiv.org/abs/2308.10226 · HTML: https://mlsanity.com/paper/2308.10226/

## Key facts

- Cited by 4 papers in the map (data through 14 Oct 2026).
- Builds on 13 of its 50 references that are in the map.
- First posted on arXiv 20 Aug 2023.

## Builds on (most cited first, 13 of 13)

- [Differentiation of Blackbox Combinatorial Solvers](https://mlsanity.com/paper/1912.02175/) (2019)
- [The Sample Complexity of Revenue Maximization](https://mlsanity.com/paper/1502.00963/) (2015)
- [NOMU: Neural Optimization-based Model Uncertainty](https://mlsanity.com/paper/2102.13640/) (2021)
- [Deep Learning-powered Iterative Combinatorial Auctions](https://mlsanity.com/paper/1907.05771/) (2019)
- [Generalization Guarantees for Multi-item Profit Maximization: Pricing, Auctions, and Randomized Mechanisms](https://mlsanity.com/paper/1705.00243/) (2017)
- [Machine Learning-powered Iterative Combinatorial Auctions](https://mlsanity.com/paper/1911.08042/) (2019)
- [Bayesian Optimization-based Combinatorial Assignment](https://mlsanity.com/paper/2208.14698/) (2022)
- [Monotone-Value Neural Networks: Exploiting Preference Monotonicity in Combinatorial Assignment](https://mlsanity.com/paper/2109.15117/) (2021)
- [Fourier Analysis-based Iterative Combinatorial Auctions](https://mlsanity.com/paper/2009.10749/) (2020)
- [The Pseudo-Dimension of Near-Optimal Auctions](https://mlsanity.com/paper/1506.03684/) (2015)
- [Fast Iterative Combinatorial Auctions via Bayesian Learning](https://mlsanity.com/paper/1809.05340/) (2018)
- [Machine Learning-Powered Course Allocation](https://mlsanity.com/paper/2210.00954/) (2022)
- [A Bayesian Clearing Mechanism for Combinatorial Auctions](https://mlsanity.com/paper/1712.05291/) (2017)

## Built on by (most cited first, 4 of 4)

- [Accelerated Preference Elicitation with LLM-Based Proxies](https://mlsanity.com/paper/2501.14625/) (2025)
- [LLM-Powered Preference Elicitation in Combinatorial Assignment](https://mlsanity.com/paper/2502.10308/) (2025)
- [The Pseudo-Dimension of Contracts](https://mlsanity.com/paper/2501.14474/) (2025)
- [Prices, Bids, Values: One ML-Powered Combinatorial Auction to Rule Them All](https://mlsanity.com/paper/2411.09355/) (2024)

## Abstract (arXiv)

We study the design of iterative combinatorial auctions (ICAs). The main challenge in this domain is that the bundle space grows exponentially in the number of items. To address this, several papers have recently proposed machine learning (ML)-based preference elicitation algorithms that aim to elicit only the most important information from bidders. However, from a practical point of view, the main shortcoming of this prior work is that those designs elicit bidders' preferences via value queries (i.e., ``What is your value for the bundle A,B?''). In most real-world ICA domains, value queries are considered impractical, since they impose an unrealistically high cognitive burden on bidders, which is why they are not used in practice. In this paper, we address this shortcoming by designing an ML-powered combinatorial clock auction that elicits information from the bidders only via demand queries (i.e., ``At prices p, what is your most preferred bundle of items?''). We make two key technical contributions: First, we present a novel method for training an ML model on demand queries. Second, based on those trained ML models, we introduce an efficient method for determining the demand query with the highest clearing potential, for which we also provide a theoretical foundation. We experimentally evaluate our ML-based demand query mechanism in several spectrum auction domains and compare it against the most established real-world ICA: the combinatorial clock auction (CCA). Our mechanism significantly outperforms the CCA in terms of efficiency in all domains, it achieves higher efficiency in a significantly reduced number of rounds, and, using linear prices, it exhibits vastly higher clearing potential. Thus, with this paper we bridge the gap between research and practice and propose the first practical ML-powered ICA.
