Burdett, K and Coles, MG (1998) Separation cycles. Journal of Economic Dynamics and Control, 22 (7). pp. 1069-1090. DOI https://doi.org/10.1016/s0165-1889(97)00101-2
Burdett, K and Coles, MG (1998) Separation cycles. Journal of Economic Dynamics and Control, 22 (7). pp. 1069-1090. DOI https://doi.org/10.1016/s0165-1889(97)00101-2
Burdett, K and Coles, MG (1998) Separation cycles. Journal of Economic Dynamics and Control, 22 (7). pp. 1069-1090. DOI https://doi.org/10.1016/s0165-1889(97)00101-2
Abstract
This paper extends the two-sided matching literature with heterogeneous agents by considering endogenous separation behaviour by agents. When two agents divorce and return to the matching market, that separation decision affects the composition of singles in the market. By changing the average quality of singles in that market, they change the value of being unmatched. This externality effect is sufficiently strong and can support equilibrium separation cycles, even with constant returns to matching.
| Item Type: | Article |
|---|---|
| Uncontrolled Keywords: | matching; heterogeneity; separations; cycles |
| Subjects: | H Social Sciences > HB Economic Theory |
| Divisions: | Faculty of Social Sciences Faculty of Social Sciences > Economics, Department of |
| SWORD Depositor: | Unnamed user with email elements@essex.ac.uk |
| Depositing User: | Unnamed user with email elements@essex.ac.uk |
| Date Deposited: | 05 Jan 2013 16:11 |
| Last Modified: | 04 Dec 2024 06:11 |
| URI: | http://repository.essex.ac.uk/id/eprint/4908 |