[3Xin2] Poster session 1

[3Xin2-112] Local envy freeness in two-sided matching

〇Ryota Takeshima¹, Kei Kimura¹, Makoto Yokoo¹ (1.Kyushu University)

Keywords:Mechanism design, Two-sided matching, Relaxation of fairness

According to the insights of behavioral economics, it is believed that people feel happiness by comparing themselves with others who are close to them. In accordance with this insight, this study considers two-sided matching where envy occurs only with those directly connected in the social network, and examines the relationship between efficiency and fairness. In particular, we define the aforementioned envy as local envy, and adopt the absence of local envy as a relaxation of conventional fairness. Then, by restricting preferences on one side, we discuss the existence of matchings that are both locally envy free and Pareto efficient, as well as mechanisms to find such matchings.