Gaming Experiments for Analysis of Pricing Mechanisms at Electricity Markets

A method is proposed to support management policy design and verification in complex cyber-physical & human systems (CPHS). A hierarchy of interconnected formal models is built to provide the multi-faceted view of the conflict situation lying in the core of a certain management problem. Game-theoretical analysis reveals the problem and mechanism design suggests the alternative management policy. Its efficiency is verified by multi-agent simulations and gaming experiments with experts. The approach is illustrated using the examples of two market manipulation issues arising on the Russian wholesale electricity market.