How to Control Controlled School Choice
39 Pages Posted: 16 Dec 2012 Last revised: 22 Nov 2014
Date Written: October 23, 2014
We characterize choice rules for schools that regard students as substitutes while expressing preferences for a diverse student body. The stable (or fair) assignment of students to schools requires the latter to regard the former as substitutes. Such a requirement is in conflict with the reality of schools' preferences for diversity. We show that the conflict can be useful, in the sense that certain unique rules emerge from imposing both considerations. We also provide welfare comparisons for students when different choice rules are employed.
Keywords: Controlled School Choice, Diversity, Gross Substitutes, Axiomatic Characterization
JEL Classification: C78, D47, D71, D78
Suggested Citation: Suggested Citation