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Decentralized job matching

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Author Info

  • Guillaume Haeringer

    ()

  • Myrna Wooders

    ()

Abstract

This paper studies a decentralized job market model where firms (academic departments) propose sequentially a (unique) position to some workers (Ph.D. candidates). Successful candidates then decide whether to accept the offers, and departments whose positions remain unfilled propose to other candidates. We distinguish between several cases, depending on whether agents’ actions are simultaneous and/or irreversible (if a worker accepts an offer he is immediately matched, and both the worker and the firm to which she is matched go out of the market). For all these cases, we provide a complete characterization of the Nash equilibrium outcomes and the Subgame Perfect equilibria. While the set of Nash equilibria outcomes contain all individually rational matchings, it turns out that in most cases considered all subgame perfect equilibria yield a unique outcome, the worker-optimal matching.

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File URL: http://hdl.handle.net/10.1007/s00182-009-0218-x
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Bibliographic Info

Article provided by Springer in its journal International Journal of Game Theory.

Volume (Year): 40 (2011)
Issue (Month): 1 (February)
Pages: 1-28

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Handle: RePEc:spr:jogath:v:40:y:2011:i:1:p:1-28

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Web page: http://link.springer.de/link/service/journals/00182/index.htm

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Related research

Keywords: Two-sided matching; Job market; Subgame perfect equilibrium; Commitment; C78; C62; J41;

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References

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  1. Alcalde, Jose, 1996. "Implementation of Stable Solutions to Marriage Problems," Journal of Economic Theory, Elsevier, vol. 69(1), pages 240-254, April.
  2. Sang-Chul Suh & Quan Wen, 2008. "Subgame perfect implementation of stable matchings in marriage problems," Social Choice and Welfare, Springer, vol. 31(1), pages 163-174, June.
  3. Blum, Yosef & Roth, Alvin E. & Rothblum, Uriel G., 1997. "Vacancy Chains and Equilibration in Senior-Level Labor Markets," Journal of Economic Theory, Elsevier, vol. 76(2), pages 362-411, October.
  4. Roth, Alvin E & Xing, Xiaolin, 1997. "Turnaround Time and Bottlenecks in Market Clearing: Decentralized Matching in the Market for Clinical Psychologists," Journal of Political Economy, University of Chicago Press, vol. 105(2), pages 284-329, April.
  5. José Alcalde Pérez & Antonio Romero-Medina, 1996. "Simple mechanisms to implement the core of college admissions problems," Working Papers. Serie AD 1996-13, Instituto Valenciano de Investigaciones Económicas, S.A. (Ivie).
  6. Muriel Niederle & Leeat Yariv, 2009. "Decentralized Matching with Aligned Preferences," NBER Working Papers 14840, National Bureau of Economic Research, Inc.
  7. Pais, Joana, 2008. "Incentives in decentralized random matching markets," Games and Economic Behavior, Elsevier, vol. 64(2), pages 632-649, November.
  8. Martinez, Ruth & Masso, Jordi & Neme, Alejandro & Oviedo, Jorge, 2000. "Single Agents and the Set of Many-to-One Stable Matchings," Journal of Economic Theory, Elsevier, vol. 91(1), pages 91-105, March.
  9. Alcalde, Jose & Perez-Castrillo, David & Romero-Medina, Antonio, 1998. "Hiring Procedures to Implement Stable Allocations," Journal of Economic Theory, Elsevier, vol. 82(2), pages 469-480, October.
  10. Alvin E. Roth & Uriel G. Rothblum, 1999. "Truncation Strategies in Matching Markets--In Search of Advice for Participants," Econometrica, Econometric Society, vol. 67(1), pages 21-44, January.
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Citations

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Cited by:
  1. Horstschräer, Julia, 2012. "Decentralizing university admission: Evidence from a natural experiment," ZEW Discussion Papers 12-076, ZEW - Zentrum für Europäische Wirtschaftsforschung / Center for European Economic Research.
  2. Triossi, Matteo, 2009. "Hiring mechanisms, application costs and stability," Games and Economic Behavior, Elsevier, vol. 66(1), pages 566-575, May.
  3. Haeringer, Guillaume & Iehlé, Vincent, 2008. "Enjeux stratégiques du concours des Maîtres de Conférences," MPRA Paper 13002, University Library of Munich, Germany.
  4. Pais, Joana, 2008. "Incentives in decentralized random matching markets," Games and Economic Behavior, Elsevier, vol. 64(2), pages 632-649, November.
  5. Alfredo Salgado-Torres, 2012. "A simple decentralized matching mechanism in markets with couples," Economics Bulletin, AccessEcon, vol. 32(3), pages 2044-2055.
  6. Alexey Kushnir, 2010. "Harmful Signaling in Matching Markets," Working Papers 2010.121, Fondazione Eni Enrico Mattei.
  7. Robin S. Lee & Michael Schwarz, 2009. "Interviewing in Two-Sided Matching Markets," NBER Working Papers 14922, National Bureau of Economic Research, Inc.
  8. Muriel Niederle & Leeat Yariv, 2009. "Decentralized Matching with Aligned Preferences," NBER Working Papers 14840, National Bureau of Economic Research, Inc.

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