Equivalence theorem in matching with contracts

Author(s):  
Yusuke Iwase
Keyword(s):  
Optik ◽  
2020 ◽  
Vol 206 ◽  
pp. 164300
Author(s):  
Xiaoning Pan ◽  
Ke Cheng ◽  
Xiaoling Ji ◽  
Tao Wang

2006 ◽  
Vol 2006 ◽  
pp. 1-14 ◽  
Author(s):  
Fernando Beltrán ◽  
Natalia Santamaría

One not-so-intuitive result in auction theory is the revenue equivalence theorem, which states that as long as an auction complies with some conditions, it will on average generate the same revenue to an auctioneer as the revenue generated by any other auction that complies with them. Surprisingly, the conditions are not defined on the payment rules to the bidders but on the fact that the bidders do not bid below a reserve value—set by the auctioneer—the winner is the one with the highest bidding and there is a common equilibrium bidding function used by all bidders. In this paper, we verify such result using extensive simulation of a broad range of auctions and focus on the variability or fluctuations of the results around the average. Such fluctuations are observed and measured in two dimensions for each type of auction: as the number of auctions grows and as the number of bidders increases.


2019 ◽  
Vol 93 ◽  
pp. 34-55 ◽  
Author(s):  
François Boulier ◽  
François Lemaire ◽  
Adrien Poteaux ◽  
Marc Moreno Maza

2019 ◽  
pp. 185-194
Author(s):  
Richard Evan Schwartz

This chapter proves the Quasi-Isomorphism Theorem modulo two technical lemmas, which will be dealt with in the next two chapters. Section 18.2 introduces the affine transformation TA from the Quasi-Isomorphism Theorem. Section 18.3 defines the graph grid GA = TA(Z2) and states the Grid Geometry Lemma, a result about the basic geometric properties of GA. Section 18.4 introduces the set Z* that appears in the Renormalization Theorem and states the main result about it, the Intertwining Lemma. Section 18.5 explains how the Orbit Equivalence Theorem sets up a canonical bijection between the nontrivial orbits of the plaid PET and the orbits of the graph PET. Section 18.6 reinterprets the orbit correspondence in terms of the plaid polygons and the arithmetic graph polygons. Everything is then put together to complete the proof of the Quasi-Isomorphism Theorem. Section 18.7 deduces the Projection Theorem (Theorem 0.2) from the Quasi-Isomorphism Theorem.


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