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General Matching: Lattice Structure of the Set of Agreements

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Author Info
Aron Matskin
Daniel Lehmann
Abstract

The subset agreement problem generalizes all forms of two-sided matching. Two agents need to agree on some subset of a given finite set of contracts. A solution concept - agreement - generalizes the notion of a stable subset. Its definition does not require the consideration of a preference ordering on sets of contracts, but only that of the choice function that reveals the agents' preferences by choosing the best subset of any given set of contracts. Under a suitable condition, called coherence, that requires that contracts are substitutes to one another, at least one greement always exists. A constructive proof is given that the structure of the set of agreements is a lattice.

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Paper provided by Center for Rationality and Interactive Decision Theory, Hebrew University, Jerusalem in its series Discussion Paper Series with number dp501.

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Length: 48 pages
Date of creation: Jan 2009
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Handle: RePEc:huj:dispap:dp501

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  9. Demange, Gabrielle & Gale, David & Sotomayor, Marilda, 1986. "Multi-Item Auctions," Journal of Political Economy, University of Chicago Press, vol. 94(4), pages 863-72, August. [Downloadable!] (restricted)
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