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Stable Matching with Mistaken Agents

Georgy Artemov, Yeon-Koo Che, YingHua He

arXiv 28 Jul 2022 · Theoretical Economics · publishedJournal of Political Economy Microeconomics (2022) · 17 citations (OpenAlex)

arXiv:2207.13939 · PDF · DOI · OpenAlex · Extracted main text

Abstract

Motivated by growing evidence of agents' mistakes in strategically simple environments, we propose a solution concept -- robust equilibrium -- that requires only an asymptotically optimal behavior. We use it to study large random matching markets operated by the applicant-proposing Deferred Acceptance (DA). Although truth-telling is a dominant strategy, almost all applicants may be non-truthful in robust equilibrium; however, the outcome must be arbitrarily close to the stable matching. Our results imply that one can assume truthful agents to study DA outcomes, theoretically or counterfactually. However, to estimate the preferences of mistaken agents, one should assume stable matching but not truth-telling.

Citation extraction

52
references
85
in-text mentions
52
distinct cited
4
self-citations
25,344
main-text words

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Most heavily cited references

The works this paper leans on most, across its whole bibliography — not restricted to papers in our corpus. Ranked by composite intensity, which combines how often a work is mentioned, how many sections mention it, and how much of that falls in the main text rather than the appendix.

ReferenceIntensityMentionsSectionsMain text
1Fack, Grenet, and He (2019) Beyond Truth-Telling: Preference Estimation with Centralized School Choice and College Admissions self1.00085100%
2Azevedo and Leshno (2016) A supply and demand framework for two-sided matching markets1.00064100%
3Che and Tercieux (2019) Efficiency and Stability in Large Matching Markets0.73732100%
4Shorrer and Sóvágó (2020) Obvious Mistakes in a Strategically Simple College-Admissions Environment0.64441100%
5Hällsten (2010) The Structure of Educational Decision Making and Consequences for Inequality: A Swedish Test Case0.64422100%
6Kirkeben (2012) Preferences for Lifetime Earnings, Earnings Risk and Monpecuniary Attributes in Choice of Higher Education0.64422100%
7Deb and Kalai (2015) Stability in Large Bayesian Games with Heterogeneous Players0.64422100%
8Kalai (2004) Large Robust Games0.64422100%
9McDiarmid (1989) On the method of bounded differences0.64422100%
10Roth (1982) The Economics of Matching: Stability and Incentives0.64422100%

Showing the top 10 of 52 scored citations.

Cited by, within the corpus

arXiv econ.EM papers that cite this one, ranked by how heavily they lean on it.

Citing paperIntensityMentionsSections
1Causal Effects in Matching Mechanisms with Strategically Reported Preferences0.669103
2Robust Counterfactuals in Centralized Schools Choice Systems: Addressing Gender Inequality in STEM Education0.64422
3Identification and Estimation in Many-to-one Two-sided Matching without Transfers0.40511