# Enhancing Affine Maximizer Auctions with Correlation-Aware Payment

arXiv: https://arxiv.org/abs/2602.09455 · HTML: https://mlsanity.com/paper/2602.09455/

## Key facts

- No citing papers in the map yet (data through 14 Oct 2026).
- Builds on 19 of its 50 references that are in the map.
- First posted on arXiv 10 Feb 2026.

## Builds on (most cited first, 19 of 19)

- [Optimal Auctions through Deep Learning: Advances in Differentiable Economics](https://mlsanity.com/paper/1706.03459/) (2017)
- [Automated Mechanism Design via Neural Networks](https://mlsanity.com/paper/1805.03382/) (2018)
- [A Permutation-Equivariant Neural Network Architecture For Auction Design](https://mlsanity.com/paper/2003.01497/) (2020)
- [Auction learning as a two-player game](https://mlsanity.com/paper/2006.05684/) (2020)
- [Optimal-er Auctions through Attention](https://mlsanity.com/paper/2202.13110/) (2022)
- [Sample Complexity of Automated Mechanism Design](https://mlsanity.com/paper/1606.04145/) (2016)
- [A Scalable Neural Network for DSIC Affine Maximizer Auction Design](https://mlsanity.com/paper/2305.12162/) (2023)
- [PreferenceNet: Encoding Human Preferences in Auction Design with Deep Learning](https://mlsanity.com/paper/2106.03215/) (2021)
- [Differentiable Economics for Randomized Affine Maximizer Auctions](https://mlsanity.com/paper/2202.02872/) (2022)
- [A Context-Integrated Transformer-Based Neural Network for Auction Design](https://mlsanity.com/paper/2201.12489/) (2022)
- [GemNet: Menu-Based, Strategy-Proof Multi-Bidder Auctions Through Deep Learning](https://mlsanity.com/paper/2406.07428/) (2024)
- [Automated Design of Affine Maximizer Mechanisms in Dynamic Settings](https://mlsanity.com/paper/2402.08129/) (2024)
- [Deep Automated Mechanism Design for Integrating Ad Auction and Allocation in Feed](https://mlsanity.com/paper/2401.01656/) (2024)
- [Bicriteria Multidimensional Mechanism Design with Side Information](https://mlsanity.com/paper/2302.14234/) (2023)
- [Mode Connectivity in Auction Design](https://mlsanity.com/paper/2305.11005/) (2023)
- [Weakest Bidder Types and New Core-Selecting Combinatorial Auctions](https://mlsanity.com/paper/2505.13680/) (2025)
- [Optimal Auctions for Correlated Buyers with Sampling](https://mlsanity.com/paper/1406.1571/) (2014)
- [Automated Deterministic Auction Design with Objective Decomposition](https://mlsanity.com/paper/2402.11904/) (2024)
- [Advancing Differentiable Economics: A Neural Network Framework for Revenue-Maximizing Combinatorial Auction Mechanisms](https://mlsanity.com/paper/2501.19219/) (2025)

## Abstract (arXiv)

Affine Maximizer Auctions (AMAs), a generalized mechanism family from VCG, are widely used in automated mechanism design due to their inherent dominant-strategy incentive compatibility (DSIC) and individual rationality (IR). However, as the payment form is fixed, AMA's expressiveness is restricted, especially in distributions where bidders' valuations are correlated. In this paper, we propose Correlation-Aware AMA (CA-AMA), a novel framework that augments AMA with a new correlation-aware payment. We show that any CA-AMA preserves the DSIC property and formalize finding optimal CA-AMA as a constraint optimization problem subject to the IR constraint. Then, we theoretically characterize scenarios where classic AMAs can perform arbitrarily poorly compared to the optimal revenue, while the CA-AMA can reach the optimal revenue. For optimizing CA-AMA, we design a practical two-stage training algorithm. We derive that the target function's continuity and the generalization bound on the degree of deviation from strict IR. Finally, extensive experiments showcase that our algorithm can find an approximate optimal CA-AMA in various distributions with improved revenue and a low degree of violation of IR.
