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Efficient Kidney Exchange with Dichotomous Preferences

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Listed:
  • Yao Cheng
  • Zaifu Yang

Abstract

This paper considers a general and practical kidney exchange model with compatible or incompatible patient-donor pairs, single donors, and patients on the waiting list. Efficient exchange procedures are proposed with dichotomous preferences in which only one-way, two-way, three, or four-way chains or cycles of exchange are used. We derive a tight upper bound of the possible number of feasible kidney transplants in each case of exchange and provide substantial simulation results. We find that two-way cycles and chains of exchange can substantially increase the number of feasible transplants, threeway can have a visible effect, and at most four-way cycles and chains suffice to capture all potential gains of exchange. Our results are not only theoretically interesting but also have meaningful policy implications.

Suggested Citation

  • Yao Cheng & Zaifu Yang, 2017. "Efficient Kidney Exchange with Dichotomous Preferences," Discussion Papers 17/13, Department of Economics, University of York.
    • Handle: RePEc:yor:yorken:17/13
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    References listed on IDEAS

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    1. Nikhil Agarwal & Itai Ashlagi & Eduardo Azevedo & Clayton R. Featherstone & Ömer Karaduman, 2019. "Market Failure in Kidney Exchange," American Economic Review, American Economic Association, vol. 109(11), pages 4026-4070, November.
    2. Zenios, Stefanos & Woodle, E. Steve & Ross, Lainie Friedman, 2001. "Primum Non Nocere: Avoiding Harm to Vulnerable Wait List Candidates in an Indirect Kidney Exchange," Research Papers 1684, Stanford University, Graduate School of Business.
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    7. Yao Cheng & Zaifu Yang, 2017. "Efficient Kidney Exchange with Dichotomous Preferences," Discussion Papers 17/13, Department of Economics, University of York.
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    1. Yao Cheng & Zaifu Yang, 2017. "Efficient Kidney Exchange with Dichotomous Preferences," Discussion Papers 17/13, Department of Economics, University of York.
    2. Cheng, Yao & Yang, Zaifu, 2021. "Efficient Kidney Exchange with Dichotomous Preferences," Journal of Health Economics, Elsevier, vol. 80(C).

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    JEL classification:

    • C78 - Mathematical and Quantitative Methods - - Game Theory and Bargaining Theory - - - Bargaining Theory; Matching Theory
    • D47 - Microeconomics - - Market Structure, Pricing, and Design - - - Market Design

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