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On the Asymptotic Performance of Affirmative Actions in School Choice

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  • Di Feng
  • Yun Liu

Abstract

This paper analyzes the asymptotic performance of two popular affirmative action policies, majority quota and minority reserve, under the immediate acceptance mechanism (IAM) and the top trading cycles mechanism (TTCM) in the contest of school choice. The matching outcomes of these two affirmative actions are asymptotically equivalent under the IAM when all students are sincere. Given the possible preference manipulations under the IAM, we characterize the asymptotically equivalent sets of Nash equilibrium outcomes of the IAM with these two affirmative actions. However, these two affirmative actions induce different matching outcomes under the TTCM with non-negligible probability even in large markets.

Suggested Citation

  • Di Feng & Yun Liu, 2022. "On the Asymptotic Performance of Affirmative Actions in School Choice," Papers 2202.03927, arXiv.org, revised Dec 2022.
    • Handle: RePEc:arx:papers:2202.03927
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    References listed on IDEAS

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    1. Yeon-Koo Che & Olivier Tercieux, 2019. "Efficiency and Stability in Large Matching Markets," Journal of Political Economy, University of Chicago Press, vol. 127(5), pages 2301-2342.
    2. Kojima, Fuhito, 2012. "School choice: Impossibilities for affirmative action," Games and Economic Behavior, Elsevier, vol. 75(2), pages 685-693.
    3. Hatfield, John William & Kojima, Fuhito & Narita, Yusuke, 2016. "Improving schools through school choice: A market design approach," Journal of Economic Theory, Elsevier, vol. 166(C), pages 186-211.
    4. Parag A. Pathak & Alvin E. Roth, 2013. "Matching with Couples: Stability and Incentives in Large Markets," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 128(4), pages 1585-1632.
    5. Fuhito Kojima & Parag A. Pathak, 2009. "Incentives and Stability in Large Two-Sided Matching Markets," American Economic Review, American Economic Association, vol. 99(3), pages 608-627, June.
    6. , Emin & , Bumin & , Ali, 2013. "Effective affirmative action in school choice," Theoretical Economics, Econometric Society, vol. 8(2), May.
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