Electronic Institutions as a regulatory framework for agent interactions Granada Pablo Noriega B.V. IIIA-CSIC

“Institution: a collection of artificial constraints that articulate agent interactions” A.D. North Classic Intuition

Admission Bidding Exit La Llotja del Peix (Blanes, Girona)

EI and ordinary institutions Fix meaning Clarify expectations on the behavior of others Implement due process Interface: Individual rationality and social outcomes Purpose: reduce uncertainty

Concerns of an (electronic) institution Manage the identity of participants Define and validate requirements on participant capabilities Establish interaction conventions Facilitate effective interactions Enforce satisfaction of commitments

Concerns of an electronic institution Agents can be software entities Non-standard notions of Time Distance Speed PRESENCE IDENTITY RATIONALITY RIGHTS POWER

Dependencia o Entidad Proveedor o Contratista Diario Oficial de la Federación Banco 1 Convocatoria 2 Bases de Licitación Convocatoria Publicada 3 4 Recibo de Pago 5 6 Convocatoria Bases de Licitación 7 Pagos Realizados Compranet: Public procurement

Federated Auctions Auction House 3 Buyer Auction House 1 Auction House 2

Virtual world Electronic Institution Real Auction House Auction System Human Buyers Real Auction House Auction System Human Buyers Software Buyers MASFIT: Federated Auctions

Programacion Ejecución Activación Tres proveedores Ejecución interna Concurso abierto Ejecución externa Dotación subscripción presupuesto ingresos Autorización auto comisión pleno FIN AUDITORÍA ADMINISTRACIÓN CONTRATACIÓN SUPERVISIÓN CONFLICTOS Municipal Government Actions

PROGRAMACIÓN FIN AUDITORÍA DOTACIÓN AUTORIZACIÓN ACTIVACIÓN ADMINISTRACIÓN CONTRATACIÓN SUPERVISIÓN CONFLICTOS EJECUCIÓN N N N N N Municipal Government Actions

Programming Execution Activation DIRECT PURCHASE INTERNAL OPEN BIDS EXTERNAL Funding p. subscription budget income Authorization auto Task-force M. Council END AUDIT MANAGEMENT CONTRACTS FOLOW-UP Conflicts N N N N N P P P P H H H H H P H P Municipal Government Actions

Conflict Resolution Complaint Defendent A

EI : alternative views EIs as Dialogues: Dialogical language Types of dialogue (protocol, point of conversation) Changes of conversation Obligations EIs as Norms Logical theories Context Compliance / enforcement EIs as Interface: Coordination artifact Interaction-centered problem solving Success / failure Computational Environments Applications Social Perspective

EI: Approach ENVIRONMEN T AGENT 1 AGENT 2 AGENT 3 ELECTRONIC INSTITUTION NORMS AGENT 1 AGENT 2 AGENT 3 ’’ EXECUTION STATE:  →  ’

H0H0 Participants are commitment-making agents All interactions are construable as speech acts Interactions are repetitive Interactions produce social commitments

EI = I (H 0 ) Dialogical Framework: Linguistic and social structure to give meaning to agent interactions. Performative Structure: scenes and relationships between scenes (navigation, precedence, causality) Rules: Role-dependent conventions to establish social commitments

Electronic Institution Components PERFORMATIVE STRUCTURE (NETWORK OF PROTOCOLS) SCENE (MULTI-AGENT PROTOCOL) AGENT ROLES Buyers’ Payment RULES

EI 0 : Tools

Electronic Institutions

Promulgation External, Internal Compliance Obligatory Facultative Enforcement Strict Sanctions Self-enforced Extensions