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Controlling Tail Risk in Online Ski-Rental

Controlling Tail Risk in Online Ski-Rental

The classical ski-rental problem admits a textbook 2-competitive deterministic algorithm, and a simple randomized algorithm that is e/e-1-competitive in expectation. The randomized algorithm, while optimal in expectation, has a large variance in its performance: it has more than a 37% chance of competitive ratio exceeding 2, and the change of …