Although no stable matching mechanism can induce truth-telling as a dominant strategy for all participants (Roth, 1982), recent studies have presented conditions under which truthful reporting by all agents is close to optimal (Immorlica and Mahdian, 2005, Kojima and Pathak, 2009 and Lee,...

In variants of the Electronic Mail Game (Rubinstein, 1989) where two or more players communicate via multiple channels, the multiple channels can facilitate collective action via redundancy, the sending of the same message along multiple paths or else repeatedly along the same path (Chwe, 1995...

A collaboration of medical professionals with economists and computer scientists involved in ?market design? had led to the redesign of the clearinghouse assigning medical students to internships in Israel. The new mechanism presents significant efficiency gains relative to the previous one, and...

We study a model of mechanism design in which the designer cannot force the players to use the mechanism. Instead they must voluntarily sign away their decision rights, and if they instead keep their decision rights they act on their own accord. We ask what social choice functions can be...

 I propose a mechanism for partisan sorting and geographic polarization which is tested using the mass migration of African-Americans from New Orleans to Houston, Texas in the aftermath of Hurricane Katrina. According to the Migration-Polarization (MP) Theory, diversity-increasing migration...

Low income high school graduates are less likely to enroll in four-year colleges than their more advantaged peers. When they do enroll, they are more likely to choose colleges with low graduation rates and higher costs, increasing their risk of leaving college without a degree and with...

We present a model of stereotypes in which a decision maker assessing a group recalls only that group?s most representative or distinctive types. Stereotypes highlight differences between groups, and are especially inaccurate (consisting of unlikely, extreme types) when groups are similar....

"Robust standard errors" are used in a vast array of scholarship to correct standard errors for model misspecification. However, when misspecification is bad enough to make classical and robust standard errors diverge, assuming that it is nevertheless not so bad as to bias everything else...

We establish five facts about the informal economy in developing countries.  First, it is huge, reaching about half of the total in the poorest countries.   Second, it has extremely low productivity compared to the formal economy: informal firms are typically small, inefficient, and run by...