Estimating Matching Games with Transfers
47 Pages Posted: 8 Oct 2008 Last revised: 26 Oct 2022
Date Written: October 2008
I explore the estimation of transferable utility matching games, encompassing many-to-many matching, marriage and matching with trading networks (trades). I introduce a matching maximum score estimator that does not suffer from a computational curse of dimensionality in the number of agents in a matching market. I apply the estimator to data on the car parts supplied by automotive suppliers to estimate the returns from different portfolios of parts to suppliers and automotive assemblers.
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