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Random Housing with Existing Tenants

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Author Info

  • Alcalde, Jose

    ()
    (Universidad de Alicante, Departamento de Métodos Cuantitativos y Teoría Económica)

Abstract

We explore the problem of distributing a group of indivisible objects, some of which incorporate a primitive assignment of use, or tenancy right. Within this framework we analyze the existence of rules always selecting an ex-ante efficient allocation, conditioned to a preservation of the tenancy rights. We realize that a probabilistic version of the Deferred Acceptance procedure (Gale and Shapley, 1962), is efficient and, from an ordinal point of view, superior to the randomized approaches of the Top Trading Cycles (Abdulkadiroglu and Sönmez, 1999) and the New House 4 mechanism employed in the MIT.

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Bibliographic Info

Paper provided by Universidad de Alicante, Departamento de Métodos Cuantitativos y Teoría Económica in its series QM&ET Working Papers with number 13-5.

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Length: 34 pages
Date of creation: 25 Sep 2013
Date of revision:
Handle: RePEc:ris:qmetal:2013_005

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Related research

Keywords: Correlated Priorities; Random Assignment; Serial Rule; Matching Markets; Ordinal Efficiency;

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  1. Bogomolnaia, Anna & Moulin, Herve, 2001. "A New Solution to the Random Assignment Problem," Journal of Economic Theory, Elsevier, vol. 100(2), pages 295-328, October.
  2. Shapley, Lloyd & Scarf, Herbert, 1974. "On cores and indivisibility," Journal of Mathematical Economics, Elsevier, vol. 1(1), pages 23-37, March.
  3. Alvin E. Roth & Tayfun Sonmez & M. Utku Unver, 2004. "Pairwise Kidney Exchange," NBER Working Papers 10698, National Bureau of Economic Research, Inc.
  4. Balinski, Michel & Sonmez, Tayfun, 1999. "A Tale of Two Mechanisms: Student Placement," Journal of Economic Theory, Elsevier, vol. 84(1), pages 73-94, January.
  5. Alvin E. Roth & Tayfun Sonmez & M. Utku Unver, 2003. "Kidney Exchange," Game Theory and Information 0308002, EconWPA.
  6. Abdulkadiroglu, Atila & Sonmez, Tayfun, 1999. "House Allocation with Existing Tenants," Journal of Economic Theory, Elsevier, vol. 88(2), pages 233-260, October.
  7. Abdulkadiroglu, Atila & Sonmez, Tayfun, 2003. "Ordinal efficiency and dominated sets of assignments," Journal of Economic Theory, Elsevier, vol. 112(1), pages 157-172, September.
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