Estimating matching games with transfers. (English) Zbl 1395.91342
Summary: I explore the estimation of transferable utility matching games, encompassing many-to-many matching, marriage, and matching with trading networks (trades). Computational issues are paramount. 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 valuations from different portfolios of parts to suppliers and automotive assemblers.
Keywords:
matching; trading networks; relationship formation; semiparametric estimation; maximum scoreReferences:
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