Agency theory and accounting research : an overview of some conceptual and empirical issues

This chapter aims to give the reader an overview of agency theory (AT) and its application in accounting research. It delineates the basic assumptions and concepts of AT and identifies the various measures that can be undertaken to minimise agency costs. The chapter also provides a summary of the commonalities and differences across the three major paradigms adopted by accounting researches when using an agency framework: Principal-Agent, Transaction Cost Economics and Positivist (Rochester) model. Further, a review of some recent theoretical and empirical studies on the design of optimal contracts, namely those relating to implicit contracts, multi-agents and multi-period issues is undertaken. Several suggestions are made for future studies adopting an AT-based approach.

Learning other agents' preferences in multi-agent negotiation using the bayesian classifier

In multi-agent systems, most of the time, an agent does not have complete information about the preferences and decision making processes of other agents. This prevents even the cooperative agents from making coordinated choices, purely due to their ignorance of what others want. To overcome this problem, traditional coordination methods rely heavily on inter-agent communication, and thus become very inefficient when communication is costly or simply not desirable (e.g. to preserve privacy). In this paper, we propose the use of learning to complement communication in acquiring knowledge about other agents. We augment the communication-intensive negotiating agent architecture with a learning module, implemented as a Bayesian classifier. This allows our agents to incrementally update models of other agents' preferences from past negotiations with them. Based on these models, the agents can make sound predictions about others' preferences, thus reducing the need for communication in their future interactions.

A multi-agent framework for financial investment planning

If a company or person wants to invest a lot of money, where, when, and how should the investment go? A multi-agent based Financial Investment Planner may give some reasonable answers to the above question. Good advice is mainly based on adequate information, rich knowledge, and great
skills to use knowledge and information. To this end, this planner consists of four principal components information gathering agents that are responsible for gathering relevant information on the Internet, data mining agents that are in charge of discovering knowledge from retrieved information as well as other relevant databases, group decision making agents that can effectively use available knowledge and appropriate information to make reasonable decisions (investment advice), and a graphical user interface that interacts with users. This paper is focused on the group decision making part. The design and implementation of an agent-based hybrid intelligent system - agent-based soft computing society are detailed.

Insurance services in multi-agent systems

In a multi-agent environment, there is often the need for an agent to cooperate with others so as to ensure that a given task is achieved timely and cost-effectively. Present agent systems currently maximizes this through mechanisms such as trust and risk assessments. In this paper, we extend this mechanism by introducing the concept of insurance, in which the insurance agents act as a bridge between agents who require resources from others. Unlike traditional systems, agents purchase insurance so as to guarantee to have the requested resources during the task execution time and thus minimize the risk in task failure. The novelty of this proposal is that it ensures agents continuously to exchange resources and to seek maximum expected utility in a dynamic environment at the same time. Our experimental results confirm the feasibility of our approach.

Buying and selling with insurance in open multi-agent marketplace

In this paper, we incorporate the insurance concept in buying and selling model for agents to trade in the open multi-agent marketplace. During buying, agents purchase insurance as a method to search for potential sellers and select their partners based on the information provided by insurance agents. During selling, agents purchase insurance as a method to protect themselves against potential risk. The insurance concept greatly simplifies the trading procedure in the open marketplace. The novelty of this proposal is that it ensures a dynamic trading environment while agents continue to seek maximum utility and being fully protected by insurance. Our experimental results confirm the feasibility of our approach.

An improvement to matchmaking algorithms for middle agents

A question frequently asked in multi-agent systems (MASs) concerns the efficient search for suitable agents to solve a specific problem. To answer this question, different types of middle agents are usually employed. The performance of middle agents relies heavily on the matchmaking algorithms used. Matchmaking is the process of finding an appropriate provider for a requester through a middle agent. There has been substantial work on matchmaking in different kinds of middle agents. To our knowledge, almost all currently used matchmaking algorithms missed one point when doing matchmaking -- the matchmaking is only based on the advertised capabilities of provider agents. The actual performance of provider agents in accomplishing delegated tasks is not considered at all. This results in the inaccuracy of the matchmaking outcomes as well as the random selection of provider agents with the same advertised capabilities. The quality of service of different service provider agents varies from one agent to another even though they claimed they have the same capabilities. To this end, it is argued that the practical performance of service provider agents has a significant impact on the matchmaking outcomes of middle agents. An improvement to matchmaking algorithms is proposed, which makes the algorithms have the ability to consider the track records of agents in accomplishing delegated tasks. How to represent, accumulate, and use track records as well as how to give initial values for track records in the algorithm are discussed. A prototype is also built to verify the algorithm. Based on the improved algorithm, the matchmaking outcomes are more accurate and reasonable.

Application of co-operative agents in handling fluctuations in a pull production system

This paper presents the general details of the structure and strategy of a multi-agent system that is being developed to improve the performance of pull (kanban) production control to handle large fluctuations in product demand. Employing a set of generic, heterarchial agents each controlling a single product and co-operating together to ensure that all components, regardless of demand fluctuation, are manufactured on time as per basic kanban principles. Preliminary results indicate that the basic kanban model does not cater for large demand fluctuations and the application of this multi-agent strategy may be beneficial to improving the overall system performance and increase the likelihood that all products will be manufactured on time.

Using mobile agents to detect node compromise in path-based DoS attacks on wireless sensor networks

Wireless sensor networks represent a new generation of real-time  embedded systems with significantly different communication constraints from the traditional networked systems. With their development, a new attack called a path-based DoS (PDoS) attack has appeared. In a PDoS attack, an adversary, either inside or outside the network, overwhelms sensor nodes by flooding a multi-hop endto- end communication path with either replayed packets or injected spurious packets. In this article, we propose a solution using mobile agents which can detect PDoS attacks easily.

Using mobile agents to detect and recover from node compromise in path-based DoS attacks in wireless sensor networks

Wireless sensor networks represent a new generation of real-time embedded systems with significantly different communication constraints from the traditional networked systems. With their development, a new attack called a path-based DoS (PDoS) attack has appeared. In a PDoS attack, an adversary, either inside or outside the network, overwhelms sensor nodes by flooding a multi-hop end-to end communication path with either replayed packets or injected spurious packets. Detection and recovery from PDoS attacks have not been given much attention in the literature. In this article, we propose a solution using mobile agents which can detect PDoS attacks easily and efficiently and recover the compromised nodes.

Information sharing between heterogeneous uncertain reasoning models in a multi-agent environment : a case study

The issue of information sharing and exchanging is one of the most important issues in the areas of artificial intelligence and knowledge-based systems (KBSs), or even in the broader areas of computer and information technology. This paper deals with a special case of this issue by carrying out a case study of information sharing between two well-known heterogeneous uncertain reasoning models: the certainty factor model and the subjective Bayesian method. More precisely, this paper discovers a family of exactly isomorphic transformations between these two uncertain reasoning models. More interestingly, among isomorphic transformation functions in this family, different ones can handle different degrees to which a domain expert is positive or negative when performing such a transformation task. The direct motivation of the investigation lies in a realistic consideration. In the past, expert systems exploited mainly these two models to deal with uncertainties. In other words, a lot of stand-alone expert systems which use the two uncertain reasoning models are available. If there is a reasonable transformation mechanism between these two uncertain reasoning models, we can use the Internet to couple these pre-existing expert systems together so that the integrated systems are able to exchange and share useful information with each other, thereby improving their performance through cooperation. Also, the issue of transformation between heterogeneous uncertain reasoning models is significant in the research area of multi-agent systems because different agents in a multi-agent system could employ different expert systems with heterogeneous uncertain reasonings for their action selections and the information sharing and exchanging is unavoidable between different agents. In addition, we make clear the relationship between the certainty factor model and probability theory.

A study of train group operation multi-agent model oriented RITS

In this paper, aiming at describing interrelationships and communication mechanisms among agents based on a multi-agent framework of Railway Intelligent Transportation System (RITS), we construct the model about stations and trains in the system, which is called Agent-Oriented G-Net Train Group Operation Model (AGNTOM). The framework degrades the complexity of computation and makes the distribution of simulation system easy in design. The simulated experiments prove that the model provides an effective approach for dealing with communication problems in the system.

A logical framework for knowledge sharing in multi-agent systems

The issue of knowledge sharing has been an important topic in multi-agent research. Knowledge sharing leads to that agents analyze, judge and synthesize the told information so as to make agents’ own knowledge. To match these applications, this paper builds a logical framework for knowledge sharing among agents. We develop a multimodal logic for reasoning about both agents’ knowledge and told information. For formalizing the relationship between knowledge and told information, we present a framework of semantics, with respect to which a sound and complete proof theory is given.

A computation trust model with trust network in multi-agent systems

Trust is a fundamental issue in multi-agent systems, especially when they are applied in e-commence. The computational models of trust play an important role in determining who and how to interact in open and dynamic environments. To this end, a computation trust model is proposed in which the confidence information based on direct prior interactions with the target agent and the reputation information from trust network are used. In this way, agents can autonomously deal with deception and identify trustworthy parties in multi-agent systems. The ontological property of trust is also considered in the model. A case study is provided to show the effectiveness of the proposed model.