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Independent random matching

Author

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  • Konrad Podczeck

    ()

  • Daniela Puzzello

    ()

Abstract

Random matching models with a continuum population are widely used in economics to study environments where agents interact in small coalitions. This paper provides foundations to such models. In particular, the paper establishes an existence result for random matchings that are universal in the sense that certain desirable properties are satisfied for any assignment of types to agents. The result applies to infinitely many types of agents, thus covering random matching models which are currently used in the literature without a foundation. Furthermore, the paper provides conditions guaranteeing uniqueness of random matching.
(This abstract was borrowed from another version of this item.)

Suggested Citation

  • Konrad Podczeck & Daniela Puzzello, 2012. "Independent random matching," Economic Theory, Springer;Society for the Advancement of Economic Theory (SAET), vol. 50(1), pages 1-29, May.
  • Handle: RePEc:spr:joecth:v:50:y:2012:i:1:p:1-29
    DOI: 10.1007/s00199-010-0584-4
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    References listed on IDEAS

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    Citations

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    Cited by:

    1. Hedlund, Jonas & Oyarzun, Carlos, 2016. "Imitation in Heterogeneous Populations," Working Papers 0625, University of Heidelberg, Department of Economics.
    2. repec:eee:jetheo:v:174:y:2018:i:c:p:124-183 is not listed on IDEAS
    3. Pinheiro, Roberto & Visschers, Ludo, 2015. "Unemployment risk and wage differentials," Journal of Economic Theory, Elsevier, vol. 157(C), pages 397-424.
    4. Mendolicchio, Concetta & Paolini, Dimitri & Pietra, Tito, 2012. "Investments in education and welfare in a two-sector, random matching economy," Journal of Mathematical Economics, Elsevier, vol. 48(6), pages 367-385.
    5. repec:eee:matsoc:v:90:y:2017:i:c:p:63-72 is not listed on IDEAS
    6. Camargo, Braz & Lester, Benjamin, 2014. "Trading dynamics in decentralized markets with adverse selection," Journal of Economic Theory, Elsevier, vol. 153(C), pages 534-568.
    7. Duffie, Darrell & Qiao, Lei & Sun, Yeneng, 2018. "Dynamic directed random matching," Journal of Economic Theory, Elsevier, vol. 174(C), pages 124-183.
    8. Carlos Alós-Ferrer & Klaus Ritzberger, 2013. "Large extensive form games," Economic Theory, Springer;Society for the Advancement of Economic Theory (SAET), vol. 52(1), pages 75-102, January.
    9. Graziano, Maria Gabriella & Meo, Claudia & Yannelis, Nicholas C., 2017. "Stable sets for exchange economies with interdependent preferences," Journal of Economic Behavior & Organization, Elsevier, vol. 140(C), pages 267-286.
    10. repec:spr:joecth:v:65:y:2018:i:4:d:10.1007_s00199-017-1044-1 is not listed on IDEAS
    11. Lee, Manjong, 2013. "Coexistence and welfare cost of inflation," Journal of Macroeconomics, Elsevier, vol. 36(C), pages 23-32.
    12. Mihaela Schaar & Jie Xu & William Zame, 2013. "Efficient online exchange via fiat money," Economic Theory, Springer;Society for the Advancement of Economic Theory (SAET), vol. 54(2), pages 211-248, October.
    13. Tai-Wei Hu, 2013. "Imperfect recognizability and coexistence of money and higher-return assets," Economic Theory, Springer;Society for the Advancement of Economic Theory (SAET), vol. 53(1), pages 111-138, May.
    14. repec:spr:etbull:v:3:y:2015:i:2:d:10.1007_s40505-014-0035-7 is not listed on IDEAS
    15. Camargo, Braz, 2014. "Learning in society," Games and Economic Behavior, Elsevier, vol. 87(C), pages 381-396.

    More about this item

    Keywords

    Random matching; Involution; Independence; Continuum population; Fubini extension; C00; C02; C73; C78;

    JEL classification:

    • C78 - Mathematical and Quantitative Methods - - Game Theory and Bargaining Theory - - - Bargaining Theory; Matching Theory
    • C00 - Mathematical and Quantitative Methods - - General - - - General
    • C02 - Mathematical and Quantitative Methods - - General - - - Mathematical Economics
    • C73 - Mathematical and Quantitative Methods - - Game Theory and Bargaining Theory - - - Stochastic and Dynamic Games; Evolutionary Games

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