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Transversals, systems of distinct representatives, mechanism design, and matching

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Markets, Games, and Organizations

Part of the book series: Studies in Economic Design ((DESI))

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Abstract

A transversal generated by a system of distinct representatives (SDR) for a collection of sets consists of an element from each set (its representative) such that the representative uniquely identifies the set it belongs to. Theorem 1 gives a necessary and sufficient condition that an arbitrary collection, finite or infinite, of sets, finite or infinite, have an SDR. The proof is direct, short. A Corollary to Theorem 1 shows explicitly the application to matching problems.

In the context of designing decentralized economic mechanisms, it turned out to be important to know when one can construct an SDR for a collection of sets that cover the parameter space characterizing a finite number of economic agents. The condition of Theorem 1 is readily verifiable in that economic context.

Theorems 2–5 give different characterizations of situations in which the collection of sets is a partition. This is of interest because partitions have special properties of informational efficiency.

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Hurwicz, L., Reiter, S. (2003). Transversals, systems of distinct representatives, mechanism design, and matching. In: Ichiishi, T., Marschak, T. (eds) Markets, Games, and Organizations. Studies in Economic Design. Springer, Berlin, Heidelberg. https://doi.org/10.1007/978-3-540-24784-5_10

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  • DOI: https://doi.org/10.1007/978-3-540-24784-5_10

  • Publisher Name: Springer, Berlin, Heidelberg

  • Print ISBN: 978-3-642-53465-2

  • Online ISBN: 978-3-540-24784-5

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