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Strategic Behavior Without Outside Options

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  • Camilo J. Sirguiado
  • Juan Pablo Torres-Martinez

Abstract

In two-sided one-to-one matching markets, each side of the market has a single stable mechanism that is strategy-proof for its members (Alcalde and Barbera, 1994). When agents may not declare potential partners inadmissible, this uniqueness result only holds for the short side, if there is one. Furthermore, among the stable mechanisms that are strategy-proof for the long side of the market, there is one that is less manipulable by coalitions of its members than the long-side optimal deferred acceptance mechanism. These properties can be extended to scenarios in which a part of the population has outside options.

Suggested Citation

  • Camilo J. Sirguiado & Juan Pablo Torres-Martinez, 2024. "Strategic Behavior Without Outside Options," Working Papers wp553, University of Chile, Department of Economics.
    • Handle: RePEc:udc:wpaper:wp553
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    References listed on IDEAS

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