Limit your applications. Dealing with congested markets in the matching procedure

Result code in IS VaVaI

<a href="https://www.isvavai.cz/riv?ss=detail&h=RIV%2F00216208%3A11640%2F16%3A00463941" target="_blank" >RIV/00216208:11640/16:00463941 - isvavai.cz</a>

Result on the web

<a href="http://dx.doi.org/10.1504/IJCEE.2016.079534" target="_blank" >http://dx.doi.org/10.1504/IJCEE.2016.079534</a>

DOI - Digital Object Identifier

<a href="http://dx.doi.org/10.1504/IJCEE.2016.079534" target="_blank" >10.1504/IJCEE.2016.079534</a>

Result language

angličtina

Original language name

Limit your applications. Dealing with congested markets in the matching procedure

Original language description

We study congested matching markets, such as the PhD academic job market, and consider alternative mechanisms that could be implemented by a social planner. Building on the Gale and Shapley algorithm, we analyse (i) a procedure accounting for a limit in the number of applications PhD graduates can submit (PhD-LIMIT), and (ii) a procedure accounting for a limit in the number of applications universities can evaluate (UNI-LIMIT). We find that the PhD-LIMIT procedure improves the matching outcome and is preferable to a UNI-LIMIT procedure. The optimal limit in the number of applications balances the trade-off between being unmatched and gaining a better match in the aggregate, and the benefit can be considerable if the graduates’ preferences over the positions are not very correlated. Overall, we suggest a direction to improve the matching market for PhD candidates by improving the outcome of their matches and lowering the hiring costs for universities.

Czech name

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Czech description

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Type

J_x - Unclassified - Peer-reviewed scientific article (Jimp, Jsc and Jost)

CEP classification

AH - Economics

OECD FORD branch

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Project

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Continuities

I - Institucionalni podpora na dlouhodoby koncepcni rozvoj vyzkumne organizace

Publication year

2016

Confidentiality

S - Úplné a pravdivé údaje o projektu nepodléhají ochraně podle zvláštních právních předpisů

Name of the periodical

International Journal of Computational Economics and Econometrics

ISSN

1757-1170

e-ISSN

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Volume of the periodical

6

Issue of the periodical within the volume

4

Country of publishing house

GB - UNITED KINGDOM

Number of pages

19

Pages from-to

413-431

UT code for WoS article

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EID of the result in the Scopus database

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