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Stability and Efficiency of Partitions in Matching Problems

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  • Ä°pek Özkal-Sanver

Abstract

We define two versions of stability and efficiency of partitions and analyze their relationships for some matching rules. The stability and efficiency of a partition depends on the matching rule φ. The results are stated under various membership property rights axioms. It is shown that in a world where agents can freely exit from and enter coalitions, whenever the matching rule is individually rational and Pareto optimal, the set of φ-stable and φ-efficient partitions coincide and it is unique: the grand coalition. Then we define a weaker version of stability and efficiency, namely specific to a given preference profile and find some negative results for stable matching rules. Copyright Springer 2005

Suggested Citation

  • Ä°pek Özkal-Sanver, 2005. "Stability and Efficiency of Partitions in Matching Problems," Theory and Decision, Springer, vol. 59(3), pages 193-205, November.
    • Handle: RePEc:kap:theord:v:59:y:2005:i:3:p:193-205
    DOI: 10.1007/s11238-005-0945-9
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    Cited by:

    1. Duygu Nizamogullari & İpek Özkal-Sanver, 2011. "Coalitional stability and efficiency of partitions in matching problems," Theory and Decision, Springer, vol. 71(3), pages 395-407, September.

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