We consider the allocation of a finite number of indivisible objects to the same number of agents according to an exogenously given queue. We assume that the agents collaborate in order to achieve an efficient outcome for society. We allow for side-payments and provide a method for obtaining...

In this paper, we suggest a simple sequential mechanism whose subgame perfect equilibria give rise to efficient networks. Moreover, the payoffs received by the agents coincide with their Shapley value in an appropriately defined cooperative game.

We extend Aumann's theorem [Aumann 1987], deriving correlated equilibria as a consequence of common priors and common knowledge of rationality, by explicitly allowing for non-rational behavior. We replace the assumption of common knowledge of rationality with a substantially weaker one, joint...

Scheduling jobs of decentralized decision makers that are in competition will usually lead to cost inefficiencies. This cost inefficiency is studied using the Price of Anarchy (PoA), i.e., the ratio between the worst Nash equilibrium cost and the cost attained at the centralized optimum. First,...

This paper uses a regression discontinuity design to estimate the impact of additional unrestricted grant financing on local public spending, public service provision, schooling, literacy, and income at the community (município) level in Brazil. Additional transfers increased local public...

We study a simple model of assigning indivisible objects (e.g., houses, jobs, offices, etc.) to agents. Each agent receives at most one object and monetary compensations are not possible. We completely describe all rules satisfying efficiency, independence of irrelevant objects, and...

We study situations of allocating positions to students based on priorities. An example is the assignment of medical students to hospital residencies on the basis of entrance exams. For markets without couples, e.g., for undergraduate student placement, acyclicity is a necessary and sufficient...

This paper investigates experimentally how organisational decision processes affect the moral motivations of actors inside a firm that must forego profits to reduce harming a third party. In a "vertical" treatment, one insider unilaterally sets the harm-reduction strategy; the other can only...

We extend the model of collective action in which groups compete for a budged by endogenizing the group platform, namely the specific mixture of public/private good and the distribution of the private good to group members which can be uniform or performance-based. While the group-optimal...

In this note we study von Neumann-Morgenstern farsightedly stable sets for Shapley and Scarf (1974) housing markets. Kawasaki (2008) shows that the set of competitive allocations coincides with the unique von Neumann-Morgenstern stable set based on a farsighted version of antisymmetric weak...