Unraveling Results from Comparable Demand and Supply: An Experimental Investigation

Games

Muriel Niederle¹  Alvin E. Roth¹ 

[1] Department of Economics, Stanford University, Stanford, CA 94305-6072, USA; E-Mail:

关键词: Two-side Matching;    market design;    unraveling;    experiments;   

DOI  :  10.3390/g4020243

来源: mdpi

【 摘 要 】

Markets sometimes unravel, with offers becoming inefficiently early. Often this is attributed to competition arising from an imbalance of demand and supply, typically excess demand for workers. However this presents a puzzle, since unraveling can only occur when firms are willing to make early offers and workers are willing to accept them. We present a model and experiment in which workers’ quality becomes known only in the late part of the market. However, in equilibrium, matching can occur (inefficiently) early only when there is comparable demand and supply: a surplus of applicants, but a shortage of high quality applicants.

【 授权许可】

CC BY   
© 2013 by the authors; licensee MDPI, Basel, Switzerland.