TY - JOUR
T1 - Efficient lottery design
AU - Kesten, Onur
AU - Kurino, Morimitsu
AU - Nesterov, Alexander S.
N1 - Funding Information:
We would like to thank two anonymous reviewers and seminar participants at various universities and conferences for useful discussions. Morimitsu Kurino acknowledges the financial support from Maastricht University when he was affiliated there. All remaining errors are our own.
Publisher Copyright:
© 2016, Springer-Verlag Berlin Heidelberg.
PY - 2017/1/1
Y1 - 2017/1/1
N2 - There has been a surge of interest in stochastic assignment mechanisms that have proven to be theoretically compelling thanks to their prominent welfare properties. Contrary to stochastic mechanisms, however, lottery mechanisms are commonly used in real life for indivisible goods allocation. To help facilitate the design of practical lottery mechanisms, we provide new tools for obtaining stochastic improvements in lotteries. As applications, we propose lottery mechanisms that improve upon the widely used random serial dictatorship mechanism and a lottery representation of its competitor, the probabilistic serial mechanism. The tools we provide here can be useful in developing welfare-enhanced new lottery mechanisms for practical applications such as school choice.
AB - There has been a surge of interest in stochastic assignment mechanisms that have proven to be theoretically compelling thanks to their prominent welfare properties. Contrary to stochastic mechanisms, however, lottery mechanisms are commonly used in real life for indivisible goods allocation. To help facilitate the design of practical lottery mechanisms, we provide new tools for obtaining stochastic improvements in lotteries. As applications, we propose lottery mechanisms that improve upon the widely used random serial dictatorship mechanism and a lottery representation of its competitor, the probabilistic serial mechanism. The tools we provide here can be useful in developing welfare-enhanced new lottery mechanisms for practical applications such as school choice.
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U2 - 10.1007/s00355-016-0978-8
DO - 10.1007/s00355-016-0978-8
M3 - Article
AN - SCOPUS:84974827205
VL - 48
SP - 31
EP - 57
JO - Social Choice and Welfare
JF - Social Choice and Welfare
SN - 0176-1714
IS - 1
ER -