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  4. August 2012
  5. A Field Study on Matching with Network Externalities

A Field Study on Matching with Network Externalities

  • Mariagiovanna Baccara
  • Ayşe İmrohoroğlu
  • Alistair J. Wilson
  • Leeat Yariv
American Economic Review
vol. 102, no. 5, August 2012
(pp. 1773-1804)
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Abstract

We study the effects of network externalities within a protocol for matching faculty to offices in a new building. Using web and survey data on faculty's attributes and choices, we identify the different layers of the social network: institutional affiliation, coauthorships, and friendships. We quantify the effects of network externalities on choices and outcomes, disentangle the layers of the networks, and quantify their relative influence. Finally, we assess the protocol used from a welfare perspective. Our study suggests the importance and feasibility of accounting for network externalities in assignment problems and evaluates techniques that can be employed to this end. (JEL C78, C93, D62, D85, Z13)

Citation

Baccara, Mariagiovanna, Ayşe İmrohoroğlu, Alistair J. Wilson, and Leeat Yariv. 2012. "A Field Study on Matching with Network Externalities." American Economic Review, 102 (5): 1773-1804. DOI: 10.1257/aer.102.5.1773

Additional Materials

JEL Classification

  • C78 Bargaining Theory; Matching Theory
  • C93 Field Experiments
  • D62 Externalities
  • D85 Network Formation and Analysis: Theory
  • Z13 Economic Sociology; Economic Anthropology; Social and Economic Stratification