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Stability and Median Rationalizability for Aggregate Matchings

Author

Listed:
  • Federico Echenique

    (Division of the Humanities and Social Sciences, California Institute of Technology, Pasadena, CA 91125, USA)

  • SangMok Lee

    (Department of Economics, Washington University in St. Louis, St. Louis, MO 63130, USA)

  • Matthew Shum

    (Division of the Humanities and Social Sciences, California Institute of Technology, Pasadena, CA 91125, USA)

  • M. Bumin Yenmez

    (Department of Economics, Boston College, Chestnut Hill, MA 02467, USA)

Abstract

We develop the theory of stability for aggregate matchings used in empirical studies and establish fundamental properties of stable matchings including the result that the set of stable matchings is a non-empty, complete, and distributive lattice. Aggregate matchings are relevant as matching data in revealed preference theory. We present a result on rationalizing a matching data as the median stable matching.

Suggested Citation

  • Federico Echenique & SangMok Lee & Matthew Shum & M. Bumin Yenmez, 2021. "Stability and Median Rationalizability for Aggregate Matchings," Games, MDPI, vol. 12(2), pages 1-15, April.
    • Handle: RePEc:gam:jgames:v:12:y:2021:i:2:p:33-:d:533040
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    References listed on IDEAS

    as
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    2. Federico Echenique & Sangmok Lee & Matthew Shum, 2011. "The Money Pump as a Measure of Revealed Preference Violations," Journal of Political Economy, University of Chicago Press, vol. 119(6), pages 1201-1223.
    3. Federico Echenique, 2008. "What Matchings Can Be Stable? The Testable Implications of Matching Theory," Mathematics of Operations Research, INFORMS, vol. 33(3), pages 757-768, August.
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