Matching in Networks with Bilateral Contracts

B-Tier
Journal: American Economic Journal: Microeconomics
Year: 2012
Volume: 4
Issue: 1
Pages: 176-208

Authors (2)

John William Hatfield (not in RePEc) Scott Duke Kominers (Harvard University)

Score contribution per author:

1.005 = (α=2.01 / 2 authors) × 1.0x B-tier

α: calibrated so average coauthorship-adjusted count equals average raw count

Abstract

We introduce a model in which firms trade goods via bilateral contracts which specify a buyer, a seller, and the terms of the exchange. This setting subsumes (many-to-many) matching with contracts, as well as supply chain matching. When firms' relationships do not exhibit a supply chain structure, stable allocations need not exist. By contrast, in the presence of supply chain structure, a natural substitutability condition characterizes the maximal domain of firm preferences for which stable allocations are guaranteed to exist. Furthermore, the classical lattice structure, rural hospitals theorem, and one-sided strategy-proofness results all generalize to this setting. (JEL C78, D85, D86, L14)

Technical Details

RePEc Handle
repec:aea:aejmic:v:4:y:2012:i:1:p:176-208
Journal Field
General
Author Count
2
Added to Database
2026-01-25