Matching with Incomplete Information
A large literature uses matching models to analyze markets with two-sided heterogeneity, studying problems such as the matching of students to schools, residents to hospitals, husbands to wives, and workers to firms. The analysis typically assumes that the agents have complete information, and examines core outcomes. We formulate a notion of stable outcomes in matching problems with one-sided asymmetric information. The key conceptual problem is to formulate a notion of a blocking pair that takes account of the inferences that the uninformed agent might make from the hypothesis that the current allocation is stable. We show that the set of stable outcomes is nonempty in incomplete information environments, and is a superset of the set of complete-information stable outcomes. We provide sufficient conditions for incomplete-information stable matchings to be efficient.
(This abstract was borrowed from another version of this item.)
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Bhaskar Dutta & Rajiv Vohra, 2001.
"Incomplete Information, Credibility and the Core,"
2001-02, Brown University, Department of Economics.
- Forges, F., 1991.
CORE Discussion Papers
1991045, Université catholique de Louvain, Center for Operations Research and Econometrics (CORE).
- Ehlers, Lars & Masso, Jordi, 2007. "Incomplete information and singleton cores in matching markets," Journal of Economic Theory, Elsevier, vol. 136(1), pages 587-600, September.
- Hoppe, Heidrun C. & Moldovanu, Benny & Sela, Aner, 2005.
"The Theory of Assortative Matching Based on Costly Signals,"
Discussion Paper Series of SFB/TR 15 Governance and the Efficiency of Economic Systems
85, Free University of Berlin, Humboldt University of Berlin, University of Bonn, University of Mannheim, University of Munich.
- Heidrun C. Hoppe & Benny Moldovanu & Aner Sela, 2009. "The Theory of Assortative Matching Based on Costly Signals," Review of Economic Studies, Oxford University Press, vol. 76(1), pages 253-281.
- Hoppe, Heidrun C. & Moldovanu, Benny & Sela, Aner, 2006. "The Theory of Assortative Matching Based on Costly Signals," CEPR Discussion Papers 5543, C.E.P.R. Discussion Papers.
- Benjamin Edelman & Michael Ostrovsky & Michael Schwarz, 2005.
"Internet Advertising and the Generalized Second Price Auction: Selling Billions of Dollars Worth of Keywords,"
NBER Working Papers
11765, National Bureau of Economic Research, Inc.
- Benjamin Edelman & Michael Ostrovsky & Michael Schwarz, 2007. "Internet Advertising and the Generalized Second-Price Auction: Selling Billions of Dollars Worth of Keywords," American Economic Review, American Economic Association, vol. 97(1), pages 242-259, March.
- Chade, Hector, 2006. "Matching with noise and the acceptance curse," Journal of Economic Theory, Elsevier, vol. 129(1), pages 81-113, July.
- Stephan Lauermann & Georg Nöldeke, 2012. "Stable Marriages and Search Frictions," Working papers 2012/10, Faculty of Business and Economics - University of Basel.
- Hector Chade & Gregory Lewis & Lones Smith, 2014.
"Student Portfolios and the College Admissions Problem,"
Review of Economic Studies,
Oxford University Press, vol. 81(3), pages 971-1002.
- Chade, H. & Lewis, Gregory & Smith, L., 2014. "Student Portfolios and the College Admissions Problem," Scholarly Articles 12363836, Harvard University Department of Economics.
- Alessandro Citanna & Archishman Chakraborty & Michael Ostrovsky, 2010.
"Two-sided matching with interdependent values,"
When requesting a correction, please mention this item's handle: RePEc:cla:levarc:786969000000000551. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (David K. Levine)
If references are entirely missing, you can add them using this form.