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The Success of the Deferred Acceptance Algorithm under Heterogenous Preferences with Endogenous Aspirations

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  • Saglam, Ismail

Abstract

In this paper, we consider a one-to-one matching model with two phases; an adolescence phase where individuals meet a number of dates and learn about their aspirations, followed by a matching phase where individuals are matched according to a version of Gale and Shapley's (1962) deferred acceptance (DA) algorithm. Using simulations of this model, we study how the likelihoods of matching and divorce, and also the balancedness and the speed of matching associated with the outcome of the DA algorithm are affected by the size of correlation in the preferences of individuals and by the frequency individuals update their aspirations in the adolescence phase.

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  • Saglam, Ismail, 2019. "The Success of the Deferred Acceptance Algorithm under Heterogenous Preferences with Endogenous Aspirations," MPRA Paper 91475, University Library of Munich, Germany.
    • Handle: RePEc:pra:mprapa:91475
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    1. Atila Abdulkadiroğlu & Parag A. Pathak & Alvin E. Roth, 2005. "The New York City High School Match," American Economic Review, American Economic Association, vol. 95(2), pages 364-367, May.
    2. Ismail Saglam, 2014. "Simple Heuristics as Equilibrium Strategies in Mutual Sequential Mate Search," Journal of Artificial Societies and Social Simulation, Journal of Artificial Societies and Social Simulation, vol. 17(1), pages 1-12.
    3. Alvin Roth, 2008. "Deferred acceptance algorithms: history, theory, practice, and open questions," International Journal of Game Theory, Springer;Game Theory Society, vol. 36(3), pages 537-569, March.
    4. Thomas Hills & Peter Todd, 2008. "Population Heterogeneity and Individual Differences in an Assortative Agent-Based Marriage and Divorce Model (MADAM) Using Search with Relaxing Expectations," Journal of Artificial Societies and Social Simulation, Journal of Artificial Societies and Social Simulation, vol. 11(4), pages 1-5.
    5. Peter Todd & Francesco Billari & Jorge Simão, 2005. "Aggregate age-at-marriage patterns from individual mate-search heuristics," Demography, Springer;Population Association of America (PAA), vol. 42(3), pages 559-574, August.
    6. Roth, Alvin E, 1984. "The Evolution of the Labor Market for Medical Interns and Residents: A Case Study in Game Theory," Journal of Political Economy, University of Chicago Press, vol. 92(6), pages 991-1016, December.
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    8. Ismail Saglam, 2018. "A New Heuristic in Mutual Sequential Mate Search," International Journal of Microsimulation, International Microsimulation Association, vol. 11(2), pages 122-145.
    9. Saglam, Ismail, 2017. "Simulating the Mutual Sequential Mate Search Model under Non-homogenous Preferences," MPRA Paper 80522, University Library of Munich, Germany.
    10. Parag A. Pathak & Tayfun Sonmez, 2008. "Leveling the Playing Field: Sincere and Sophisticated Players in the Boston Mechanism," American Economic Review, American Economic Association, vol. 98(4), pages 1636-1652, September.
    11. Naoki Shiba, 2013. "Analysis of Asymmetric Two-Sided Matching: Agent-Based Simulation with Theorem-Proof Approach," Journal of Artificial Societies and Social Simulation, Journal of Artificial Societies and Social Simulation, vol. 16(3), pages 1-11.
    12. Balinski, Michel & Sonmez, Tayfun, 1999. "A Tale of Two Mechanisms: Student Placement," Journal of Economic Theory, Elsevier, vol. 84(1), pages 73-94, January.
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    Cited by:

    1. Ismail Saglam, 2020. "Measuring external stability in one-to-one matching," Economics Bulletin, AccessEcon, vol. 40(1), pages 234-247.
    2. Saglam, Ismail, 2019. "Measuring the External Stability of the One-to-One Matching Generated by the Deferred Acceptance Algorithm," MPRA Paper 91472, University Library of Munich, Germany.

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    More about this item

    Keywords

    Mate search; one-to-one matching; stability; agent-based simulation;
    All these keywords.

    JEL classification:

    • C63 - Mathematical and Quantitative Methods - - Mathematical Methods; Programming Models; Mathematical and Simulation Modeling - - - Computational Techniques
    • C78 - Mathematical and Quantitative Methods - - Game Theory and Bargaining Theory - - - Bargaining Theory; Matching Theory

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