IDEAS home Printed from https://ideas.repec.org/a/spr/reecde/v26y2022i4d10.1007_s10058-021-00282-3.html
   My bibliography  Save this article

Computational implementation

Author

Listed:
  • Mehmet Barlo

    (Sabancı University)

  • Nuh Aygün Dalkıran

    (Bilkent University)

Abstract

Following a theoretical analysis of the scope of Nash implementation for a given mechanism, we study the formal framework for computational identification of Nash implementability. We provide computational tools for Nash implementation in finite environments. In particular, we supply Python codes that identify (i) the domain of preferences that allows Nash implementation by a given mechanism, (ii) the maximal domain of preferences that a given mechanism Nash implements Pareto efficiency, (iii) all consistent collections of sets of a given social choice correspondence (SCC), the existence of which is a necessary condition for Nash implementation of this SCC, and (iv) check whether some of the well-known sufficient conditions for Nash implementation hold for a given SCC. Our results exhibit that the computational identification of all collections consistent with an SCC enables the planner to design appealing mechanisms.

Suggested Citation

  • Mehmet Barlo & Nuh Aygün Dalkıran, 2022. "Computational implementation," Review of Economic Design, Springer;Society for Economic Design, vol. 26(4), pages 605-633, December.
  • Handle: RePEc:spr:reecde:v:26:y:2022:i:4:d:10.1007_s10058-021-00282-3
    DOI: 10.1007/s10058-021-00282-3
    as

    Download full text from publisher

    File URL: http://link.springer.com/10.1007/s10058-021-00282-3
    File Function: Abstract
    Download Restriction: Access to the full text of the articles in this series is restricted.

    File URL: https://libkey.io/10.1007/s10058-021-00282-3?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Williams, Steven R, 1986. "Realization and Nash Implementation: Two Aspects of Mechanism Design," Econometrica, Econometric Society, vol. 54(1), pages 139-151, January.
    2. Geoffroy de Clippel, 2014. "Behavioral Implementation," American Economic Review, American Economic Association, vol. 104(10), pages 2975-3002, October.
    3. , R., 2010. "Nash implementation with little communication," Theoretical Economics, Econometric Society, vol. 5(1), January.
    4. Matías Núñez & M. Remzi Sanver, 2021. "On the subgame perfect implementability of voting rules," Social Choice and Welfare, Springer;The Society for Social Choice and Welfare, vol. 56(2), pages 421-441, February.
    5. Hurwicz,Leonid & Reiter,Stanley, 2006. "Designing Economic Mechanisms," Cambridge Books, Cambridge University Press, number 9780521836418.
    6. Eric Maskin, 1999. "Nash Equilibrium and Welfare Optimality," The Review of Economic Studies, Review of Economic Studies Ltd, vol. 66(1), pages 23-38.
    7. Shengwu Li, 2017. "Obviously Strategy-Proof Mechanisms," American Economic Review, American Economic Association, vol. 107(11), pages 3257-3287, November.
    8. Marek Pycia & Peter Troyan, 2023. "A Theory of Simplicity in Games and Mechanism Design," Econometrica, Econometric Society, vol. 91(4), pages 1495-1526, July.
    9. Reichelstein, Stefan & Reiter, Stanley, 1988. "Game Forms with Minimal Message Spaces," Econometrica, Econometric Society, vol. 56(3), pages 661-692, May.
    10. Kenneth R. Mount & Stanley Reiter, 1996. "A lower bound on computational complexity given by revelation mechanisms (*)," Economic Theory, Springer;Society for the Advancement of Economic Theory (SAET), vol. 7(2), pages 237-266.
    11. Tilman Börgers & Jiangtao Li, 2019. "Strategically Simple Mechanisms," Econometrica, Econometric Society, vol. 87(6), pages 2003-2035, November.
    12. T. Hayashi & R. Jain & V. Korpela & M. Lombardi, 2023. "Behavioral strong implementation," Economic Theory, Springer;Society for the Advancement of Economic Theory (SAET), vol. 76(4), pages 1257-1287, November.
    13. Laslier, Jean-François & Núñez, Matías & Remzi Sanver, M., 2021. "A solution to the two-person implementation problem," Journal of Economic Theory, Elsevier, vol. 194(C).
    14. Saari, Donald G., 1984. "A method for constructing message systems for smooth performance functions," Journal of Economic Theory, Elsevier, vol. 33(2), pages 249-274, August.
    15. Hurwicz,Leonid & Reiter,Stanley, 2008. "Designing Economic Mechanisms," Cambridge Books, Cambridge University Press, number 9780521724104.
    16. Mount,Kenneth R. & Reiter,Stanley, 2007. "Computation and Complexity in Economic Behavior and Organization," Cambridge Books, Cambridge University Press, number 9780521037891.
    17. Sanver, M. Remzi, 2008. "Nash implementability of the plurality rule over restricted domains," Economics Letters, Elsevier, vol. 99(2), pages 298-300, May.
    18. Matthew O. Jackson, 2001. "A crash course in implementation theory," Social Choice and Welfare, Springer;The Society for Social Choice and Welfare, vol. 18(4), pages 655-708.
    19. Matias Nunez & M. Remzi Sanver, 2021. "On the subgame perfect implementability of voting rules," Post-Print hal-03341697, HAL.
    20. Mount,Kenneth R. & Reiter,Stanley, 2002. "Computation and Complexity in Economic Behavior and Organization," Cambridge Books, Cambridge University Press, number 9780521800563.
    21. M. Remzi Sanver, 2017. "Nash implementing social choice rules with restricted ranges," Review of Economic Design, Springer;Society for Economic Design, vol. 21(1), pages 65-72, March.
    22. Battal Doğan & Semih Koray, 2015. "Maskin-monotonic scoring rules," Social Choice and Welfare, Springer;The Society for Social Choice and Welfare, vol. 44(2), pages 423-432, February.
    23. Mount, Kenneth & Reiter, Stanley, 1974. "The informational size of message spaces," Journal of Economic Theory, Elsevier, vol. 8(2), pages 161-192, June.
    24. Koray, Semih & Yildiz, Kemal, 2018. "Implementation via rights structures," Journal of Economic Theory, Elsevier, vol. 176(C), pages 479-502.
    25. M. Remzi Sanver, 2017. "Nash implementing social choice rules with restricted ranges," Review of Economic Design, Springer;Society for Economic Design, vol. 21(1), pages 65-72, March.
    26. Segal, Ilya, 2007. "The communication requirements of social choice rules and supporting budget sets," Journal of Economic Theory, Elsevier, vol. 136(1), pages 341-378, September.
    27. Saijo, Tatsuyoshi, 1988. "Strategy Space Reduction in Maskin's Theorem: Sufficient Conditions for Nash Implementation," Econometrica, Econometric Society, vol. 56(3), pages 693-700, May.
    28. Ville Korpela, 2012. "Implementation without rationality assumptions," Theory and Decision, Springer, vol. 72(2), pages 189-203, February.
    29. Moore, John & Repullo, Rafael, 1990. "Nash Implementation: A Full Characterization," Econometrica, Econometric Society, vol. 58(5), pages 1083-1099, September.
    30. Nisan, Noam & Segal, Ilya, 2006. "The communication requirements of efficient allocations and supporting prices," Journal of Economic Theory, Elsevier, vol. 129(1), pages 192-224, July.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. T. Hayashi & R. Jain & V. Korpela & M. Lombardi, 2023. "Behavioral strong implementation," Economic Theory, Springer;Society for the Advancement of Economic Theory (SAET), vol. 76(4), pages 1257-1287, November.
    2. Barlo, Mehmet & Dalkıran, Nuh Aygün, 2023. "Behavioral implementation under incomplete information," Journal of Economic Theory, Elsevier, vol. 213(C).

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Barlo, Mehmet & Dalkıran, Nuh Aygün, 2023. "Behavioral implementation under incomplete information," Journal of Economic Theory, Elsevier, vol. 213(C).
    2. Altun, Ozan Altuğ & Barlo, Mehmet & Dalkıran, Nuh Aygün, 2023. "Implementation with a sympathizer," Mathematical Social Sciences, Elsevier, vol. 121(C), pages 36-49.
    3. Segal, Ilya, 2007. "The communication requirements of social choice rules and supporting budget sets," Journal of Economic Theory, Elsevier, vol. 136(1), pages 341-378, September.
    4. Yakov Babichenko & Leonard J. Schulman, 2015. "Pareto Efficient Nash Implementation Via Approval Voting," Papers 1502.05238, arXiv.org, revised Mar 2017.
    5. , J. & ,, 2012. "Designing stable mechanisms for economic environments," Theoretical Economics, Econometric Society, vol. 7(3), September.
    6. T. Hayashi & R. Jain & V. Korpela & M. Lombardi, 2023. "Behavioral strong implementation," Economic Theory, Springer;Society for the Advancement of Economic Theory (SAET), vol. 76(4), pages 1257-1287, November.
    7. Babaioff, Moshe & Blumrosen, Liad & Schapira, Michael, 2013. "The communication burden of payment determination," Games and Economic Behavior, Elsevier, vol. 77(1), pages 153-167.
    8. Margarita Kirneva & Matias Nunez, 2021. "Voting by Simultaneous Vetoes," Working Papers 2021-08, Center for Research in Economics and Statistics.
    9. Maskin, Eric & Sjostrom, Tomas, 2002. "Implementation theory," Handbook of Social Choice and Welfare,in: K. J. Arrow & A. K. Sen & K. Suzumura (ed.), Handbook of Social Choice and Welfare, edition 1, volume 1, chapter 5, pages 237-288 Elsevier.
    10. Matthew O. Jackson, 2001. "A crash course in implementation theory," Social Choice and Welfare, Springer;The Society for Social Choice and Welfare, vol. 18(4), pages 655-708.
    11. George F. N. Shoukry, 2019. "Outcome-robust mechanisms for Nash implementation," Social Choice and Welfare, Springer;The Society for Social Choice and Welfare, vol. 52(3), pages 497-526, March.
    12. Ilya Segal, 2004. "The Communication Requirements of of Social Choice Rules and Supporting Budget Sets," Economics Working Papers 0039, Institute for Advanced Study, School of Social Science.
    13. Geoffroy de Clippel, 2014. "Behavioral Implementation," American Economic Review, American Economic Association, vol. 104(10), pages 2975-3002, October.
    14. Saijo, Tatsuyoshi & Tatamitani, Yoshikatsu & Yamato, Takehiko, 1996. "Toward Natural Implementation," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 37(4), pages 949-980, November.
    15. Mackenzie, Andrew & Zhou, Yu, 2022. "Menu mechanisms," Journal of Economic Theory, Elsevier, vol. 204(C).
    16. Saptarshi Mukherjee & Hans Peters, 2022. "Self-implementation of social choice correspondences in Nash equilibrium," Social Choice and Welfare, Springer;The Society for Social Choice and Welfare, vol. 59(4), pages 1009-1028, November.
    17. Roberto Serrano, 2003. "The Theory of Implementation of Social Choice Rules," Working Papers 2003-19, Brown University, Department of Economics.
    18. Shinotsuka, Tomoichi & Takamiya, Koji, 2003. "The weak core of simple games with ordinal preferences: implementation in Nash equilibrium," Games and Economic Behavior, Elsevier, vol. 44(2), pages 379-389, August.
    19. Marschak, Thomas, 2006. "Organization Structure," MPRA Paper 81518, University Library of Munich, Germany.
    20. R. de O. Cavalcanti & P. K. Monteiro, 2016. "Enriching information to prevent bank runs," Economic Theory, Springer;Society for the Advancement of Economic Theory (SAET), vol. 62(3), pages 477-494, August.

    More about this item

    Keywords

    Nash implementation; Computation; Maskin monotonicity; Consistent collections; Maximal domain; Behavioral implementation;
    All these keywords.

    JEL classification:

    • C72 - Mathematical and Quantitative Methods - - Game Theory and Bargaining Theory - - - Noncooperative Games
    • D71 - Microeconomics - - Analysis of Collective Decision-Making - - - Social Choice; Clubs; Committees; Associations
    • D78 - Microeconomics - - Analysis of Collective Decision-Making - - - Positive Analysis of Policy Formulation and Implementation
    • D82 - Microeconomics - - Information, Knowledge, and Uncertainty - - - Asymmetric and Private Information; Mechanism Design
    • D90 - Microeconomics - - Micro-Based Behavioral Economics - - - General

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:spr:reecde:v:26:y:2022:i:4:d:10.1007_s10058-021-00282-3. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Sonal Shukla or Springer Nature Abstracting and Indexing (email available below). General contact details of provider: http://www.springer.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.