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Matching with Waiting Times: The German Entry-Level Labour Market for Lawyers

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  • Dimakopoulos, Philipp D.
  • Heller, C.-Philipp

Abstract

We study the allocation of German lawyers to different regional courts for their compulsory legal traineeship. The number of applicants exceeds the number of available positions in a given time period in some regions, so that not all lawyers can be matched simultaneously. As a consequence some lawyers have to wait before they obtain a position. First, we analyse the currently used Berlin mechanism and demonstrate that it is unfair and that it does not respect improvements. Second, we introduce a matching with contracts model, using waiting time as the contractual term, for which we suggest an appropriate choice function for the courts that respects the capacity constraints of each court for each period. Despite the failure of the unilateral substitutes condition, under a weak assumption on lawyers preferences, a lawyer-optimal stable allocation exists. Using existing results, we can show that the resulting mechanism is strategy-proof, fair and respects improvements. Third, we extend our proposed mechanism to allow for a more flexible allocation of positions over time.

Suggested Citation

  • Dimakopoulos, Philipp D. & Heller, C.-Philipp, 2015. "Matching with Waiting Times: The German Entry-Level Labour Market for Lawyers," VfS Annual Conference 2015 (Muenster): Economic Development - Theory and Policy 113153, Verein für Socialpolitik / German Economic Association.
    • Handle: RePEc:zbw:vfsc15:113153
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    References listed on IDEAS

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    Cited by:

    1. Scott Duke Kominers & Alexander Teytelboym & Vincent P Crawford, 2017. "An invitation to market design," Oxford Review of Economic Policy, Oxford University Press and Oxford Review of Economic Policy Limited, vol. 33(4), pages 541-571.

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    More about this item

    JEL classification:

    • D47 - Microeconomics - - Market Structure, Pricing, and Design - - - Market Design
    • C78 - Mathematical and Quantitative Methods - - Game Theory and Bargaining Theory - - - Bargaining Theory; Matching Theory
    • D82 - Microeconomics - - Information, Knowledge, and Uncertainty - - - Asymmetric and Private Information; Mechanism Design

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