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School Choice with Transferable Students Characteristics

Author

Listed:
  • Carmelo Rodríguez-Álvarez

    (Instituto Complutense de Análisis Económico. Universidad Complutense de Madrid)

  • Antonio Romero Medina

    (Department of Economics. Universidad Carlos III de Madrid)

Abstract

We consider a school choice problem where schools' priorities depend on transferable students' characteristics. A school choice algorithm selects for each profile of students' preferences over schools an assignment of students to schools and a final allocation of characteristics (an extended matching). We define the Student Exchange with Transferable Characteristics (SETC) class of algorithms. Each SETC always selects a constrained efficient extended matching. That is an extended matching that i) is stable according to the priorities generated by the final allocation of characteristics and ii) is not Pareto dominated by another stable extended matching. Every constrained efficient extended matching that Pareto improves upon a stable extended matching can be obtained via an algorithm in the SETC class. When students' characteristics are fully transferable, a specific algorithm in the SETC family is equivalent to the application of the Top Trade Cycle Algorithm starting from the Student Optimal Stable Matching.

Suggested Citation

  • Carmelo Rodríguez-Álvarez & Antonio Romero Medina, 2020. "School Choice with Transferable Students Characteristics," Documentos de Trabajo del ICAE 2020-04, Universidad Complutense de Madrid, Facultad de Ciencias Económicas y Empresariales, Instituto Complutense de Análisis Económico.
    • Handle: RePEc:ucm:doicae:2004
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    More about this item

    Keywords

    School Choice; Transferable Characteristics; Priorities; Constrained Efficiency.;
    All these keywords.

    JEL classification:

    • C78 - Mathematical and Quantitative Methods - - Game Theory and Bargaining Theory - - - Bargaining Theory; Matching Theory
    • D61 - Microeconomics - - Welfare Economics - - - Allocative Efficiency; Cost-Benefit Analysis
    • D78 - Microeconomics - - Analysis of Collective Decision-Making - - - Positive Analysis of Policy Formulation and Implementation
    • I20 - Health, Education, and Welfare - - Education - - - General

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