Fractional solutions for capacitated NTU-games, with applications to stable matchings

Abstract. In this paper we investigate some new applications of Scarf’s Lemma. First, we introduce the notion of fractional core for NTU-games, which is always nonempty by the Lemma. Stable allocation is a general solution concept for games where both the players and their possible cooperations can have capacities. We show that the problem of finding a stable allocation, given a finitely generated NTU-game with capacities, is always solvable by a variant of Scarf’s Lemma. Then we describe the interpretation of these results for matching games. Finally we consider an even more general setting where players ’ contributions in a joint activity may be different. We show that a stable allocation can be found by the Scarf algorithm in this case as well, and we demonstrate the usage of this method for the hospitals resident problem with couples. This problem is relevant in many practical applications, such as NRM

Matching couples with Scarf’s algorithm

Scarf's algorithm [20] provides fractional core elements for NTU-games. Bir�o and Fleiner [3] showed that Scarf's algorithm can be extended for capacitated NTU-games. In this setting agents can be involved in more than one coalition at a time, cooperations may be performed with di�erent intensities up to some limits, and the contribution of the agents can also di�er in a coalition. The fractional stable solutions for the above model, produced by the extended Scarf algorithm, are called stable allocations. In this paper we apply this solution concept for the Hospitals / Residents problem with Couples (HRC). This is one of the most important general stable matching problems due to its relevant applications, also well-known to be NP-hard. We show that if a stable allocation yielded by the Scarf algorithm turns out to be integral then it provides a stable matching for an instance of HRC, so this method can be used as a heuristic. In an experimental study, we compare this method with other heuristics constructed for HRC that are applied in practice in the American and Scottish resident allocation programs, respectively. Our main �nding is that the Scarf algorithm outperforms all the other known heuristics when the proportion of couples is high

Matching with couples: a Multidisciplinary Survey

This survey deals with two-sided matching markets where one set of agents (workers/residents) has to be matched with another set of agents (firms/hospitals). We first give a short overview of a selection of classical results. Then, we review recent contributions to a complex and representative case of matching with complementarities, namely matching markets with couples. We discuss contributions from computer scientists, economists, and game theorists. © 2013 World Scientific Publishing Company