Stable and Strategy-Proof Matching with Flexible Allotments
John William Hatfield, Scott Duke Kominers, Alexander Westkamp
American Economic Review · 2017 · Volume 107 · Issue 5
Abstract
We introduce a framework of matching with flexible allotments that can be used to model firms with cross-division hiring restrictions. Our framework also allows us to nest some prior models of matching with distributional constraints. Building upon our recent work on observable substitutability, we show that multi-division choice functions with flexible allotments enable stable and strategy-proof matching; these results illustrate the value of clearly mapping when stable and strategy-proof matching is possible.
Keywords
Bargaining Theory, Matching Theory, Firm Behavior: Theory, Economics of Contract: Theory
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