On Random Matching Markets: Properties and Equilibria
We consider centralized matching markets in which, starting from an arbitrary match- ing, frms are successively chosen in a random fashion and offer their positions to the workers they prefer the most. We propose an algorithm that generalizes some well-known algorithms and explore some of its properties. In particular, different executions of the algorithm may lead to different output matchings. We then study incentives in the rev- elation game induced by the algorithm. We prove that ordinal equilibria always exist. Furthermore, every matching that results from an equilibrium play of the game is stable for a particular preference profile. Namely, if an ordinal equilibrium exists in which firms reveal their true preferences, only matchings that are stable for the true preferences can be obtained.
|Date of creation:||2006|
|Date of revision:|
|Contact details of provider:|| Postal: |
Web page: https://aquila1.iseg.ulisboa.pt/aquila/departamentos/EC
References listed on IDEAS
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.:
- EHLERS, Lars, 2003.
"In Search of Advice for Physicians in Entry-Level Medical Markets,"
Cahiers de recherche
13-2003, Centre interuniversitaire de recherche en économie quantitative, CIREQ.
- EHLERS, Lars, 2003. "In Search of Advice for Physicians in Entry-Level Medical Markets," Cahiers de recherche 2003-15, Universite de Montreal, Departement de sciences economiques.
- Sotomayor, Marilda, 1996. "A Non-constructive Elementary Proof of the Existence of Stable Marriages," Games and Economic Behavior, Elsevier, vol. 13(1), pages 135-137, March.
- 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.
- Pais, Joana, 2008.
"Incentives in decentralized random matching markets,"
Games and Economic Behavior,
Elsevier, vol. 64(2), pages 632-649, November.
- Joana Pais, 2006. "Incentives in Decentralized Random Matching Markets," Working Papers Department of Economics 2006/12, ISEG - School of Economics and Management, Department of Economics, University of Lisbon.
- Blum, Yosef & Roth, Alvin E. & Rothblum, Uriel G., 1997. "Vacancy Chains and Equilibration in Senior-Level Labor Markets," Journal of Economic Theory, Elsevier, vol. 76(2), pages 362-411, October.
- Alvin E. Roth & Uriel G. Rothblum, 1999. "Truncation Strategies in Matching Markets--In Search of Advice for Participants," Econometrica, Econometric Society, vol. 67(1), pages 21-44, January.
When requesting a correction, please mention this item's handle: RePEc:ise:isegwp:wp112006. 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: (Vitor Escaria)
If references are entirely missing, you can add them using this form.