Constrained Pseudo-Market Equilibrium.

We propose a pseudo-market solution to resource allocation problems subject to constraints. Our treatment of constraints is general: including bihierarchical constraints due to considerations of diversity in school choice, or scheduling in course allocation; and other forms of constraints needed to...

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Publicado en:American Economic Review Vol. 111; no. 11; pp. 3699 - 3733
Autores principales: Echenique, Federico, Miralles, Antonio, Zhang, Jun
Formato: Artículo
Publicado: American Economic Association Nov2021
Materias:
Acceso en línea:Ver este registro en EBSCOhost
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      dt: Nov2021
      vid: 111
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      pub: American Economic Association
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        10.1257/aer.20201769
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        atl: Constrained Pseudo-Market Equilibrium.
      aug:
        au:
          Echenique, Federico
          Miralles, Antonio
          Zhang, Jun
        affil:
          Division of the Humanities and Social Sciences, California Institute of Technology
          Department of Economics, Universitat Autònoma de Barcelona and Barcelona Graduate School of Economics and Università degli Studi di Messina
          Institute for Social and Economic Research, Nanjing Audit University
      su:
        School choice
        Resource allocation
        Assignment problems (Programming)
        Equilibrium
        Diversity in education
      sug:
        subj:
          School choice
          Resource allocation
          Assignment problems (Programming)
          Equilibrium
          Diversity in education
      ab: We propose a pseudo-market solution to resource allocation problems subject to constraints. Our treatment of constraints is general: including bihierarchical constraints due to considerations of diversity in school choice, or scheduling in course allocation; and other forms of constraints needed to model, for example, the market for roommates, combinatorial assignment problems, and knapsack constraints. Constraints give rise to pecuniary externalities, which are internalized via prices. Agents pay to the extent that their purchases affect the value the of relevant constraints at equilibrium prices. The result is a constrained-efficient market-equilibrium outcome. The outcome is fair to the extent that constraints treat agents symmetrically. (JEL D47, D61, D63, I11, I21)
      pubtype: Academic Journal
      doctype: Article
      src: R
    language: English
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