The large markets model with a continuum of agents has been a major methodological innovation for studying real-life assignment problems. In this paper I study the following question: if we sample random finite economies from a continuum economy, will the Deferred Acceptance (DA) assignment of...

The efficacy of the widely-adopted “top-n” policy in university integration has been questioned because students strategically relocate to low-achieving high schools. We show that when different SES groups have heterogenous relocation costs, the policy can even segregate minorities from the...

Public school choice often yields student placements that are neither fair nor efficient. Kesten (2010) proposed an efficiency-adjusted deferred acceptance algorithm (EADAM) that allows students to consent to waive priorities that have no effect on their assignment. In this article, we provide...

We introduce a new notion of ex-post efficiency for random assignment problems, namely ex-post rank efficiency that gives a maximal number of agents their favored objects. An ex-post rank efficient random assignment is a lottery over rank efficient deterministic assignments, in the sense of...

Pathak and Sönmez (2013) provided support for many real-world school choice reforms by showing that the post-reform mechanisms are often “less manipulable” than the pre-reform mechanisms according to their criterion of manipulability. In many realistic preference domains including...

We propose a model of sharing of public services among local governments. Our model is an application of Nicolo et al. (2023) and combines features of two models: assignment games (Shapley and Shubik (1971)) and the division problem (Sprumont (1991)). We provide an algorithm (The Simple SAM)...

In the United States, prospective foster parents must become licensed by a child welfare agency before a foster child can be placed in their care. This paper contributes by developing a theoretical matching model to study the optimal menu of licenses designed to screen foster parents. We...

How does group identity affect belief formation? To address this question, we conduct a series of online experiments with a representative sample of individuals in the US. Using the setting of the 2020 US presidential election, we find evidence of intergroup preference across three distinct...

How does group identity affect belief formation? To address this question, we conduct a series of online experiments with a representative sample of individuals in the US. Using the setting of the 2020 US presidential election, we find evidence of intergroup preference across three distinct...

This paper studies housing markets in the presence of constraints on the number of agents involved in exchanges. We search for mechanisms satisfying effective endowments-swapping proofness, which requires that no pair of agents can gain by “individually rational” swapping their endowments...