Tuesday, July 21, 2015

Equilibrium effects: animals that might become extinct if no one eats them

Not eating animals doesn't always mean there will be more of them: the Livestock Conservancy works to match breeding pairs of endangered species of farm animals. NPR has the story.  These Animals Might Go Extinct Because No One Wants To Eat Them

The Steller's sea cow, the passenger pigeon and the New Zealand moa all went extinct because people developed a taste for their meat.
But other animals are going their way precisely because they are no longer preferred table fare. The Livestock Conservancy, a North Carolina organization that advocates for the preservation of rare and vanishing breeds, keeps an official list of nearly 200 domesticated birds and mammals which today are at risk of vanishing. The group is trying to generate interest in these breeds, among both consumers and farmers, to keep the animals from going extinct.
"We sometimes say, 'You need to eat them to save them — just don't eat them all,' " says Ryan Walker, the marketing and communications manager of the conservancy.
The Red Wattle, a pig with exceptionally juicy flesh, and the Randall Lineback, a cow that produces beautiful rose-red veal, are two success stories — breeds that were close to oblivion but that foodie ranchers have revived.
But others haven't been so lucky. And it may be because lately no one has wanted to eat them.
There are fewer than 200 Choctaw hogs left, for example. This pig was prized by the Native American Choctaw tribe as a meat source. But displacement of the tribe led to the breed's downfall. Today, Choctaw hogs live on just a few farms in a single county in Oklahoma. The animals are still extremely vulnerable to inbreeding and, Walker says, to natural disasters. "They could potentially get wiped out by one tornado," he says.
...
The key to saving critically endangered breeds is finding people to breed and grow the populations. Walker says his organization, without land to rear its own animals, helps rare breeds by coordinating meetings between farmers who own the animals.
Today, in spite of the efforts of numerous ranchers and organizations focused on preserving rare breeds, some are going extinct. Almost one livestock breed has vanished every month around the world for at least the past six years, according to the United Nations Food and Agriculture Organization.
The U.S. Department of Agriculture supports a program for preserving heritage livestock breeds. The idea is to keep alive unique genetic traits that could someday come in handy for breeders who are trying to create hardier, or tastier, animals. In the American West, Walker says, demand is growing for drought tolerant cattle that can withstand the unusually dry conditions that may become the new normal going into the future. While many rare breeds are kept alive on small farms, the USDA has preserved some cryogenically—mainly via samples of frozen semen."

HT: Aaron Roth

Monday, July 20, 2015

Who Gets What and Why, in England

Last Monday, I devoted a day to helping my English publisher sell my book. It has a a slightly different subtitle in England: Who Gets What - And Why: The Hidden World of Matchmaking and Market Design

Here is a broadcast of BBC's Newsnight  13/07/2015  in which I briefly talk about the book starting at minute 39:.

And here is a slightly longer discussion, as part of The Monocle Weekly, from minute 27 to 40:50.

Sunday, July 19, 2015

Internships may be unpaid, court rules, if they benefit intern more than employer, and serve an educational purpose

A class action lawsuit, seeking to make many unpaid internships legally repugnant, has been sent back to a lower court.  The NY Times has the story:

Employers Have Greater Leeway on Unpaid Internships, Court Rules (this is one of those cases in which the URL is more informative than the headline:  http://www.nytimes.com/2015/07/03/business/unpaid-internships-allowed-if-they-serve-educational-purpose-court-rules.html? )

"Employers  have considerable leeway to use unpaid interns legally when the work serves an educational purpose, a federal appeals court ruled on Thursday, setting aside a lower court decision that the movie studio Fox Searchlight Pictures had improperly classified former workers as unpaid interns rather than employees.

The decision, which sends the case back to the lower court, could have broad ramifications for the way employers rely on unpaid labor. It erects large barriers to further class-action lawsuits by unpaid interns against companies where they had worked."
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Here's an op-ed regretting the decision: Interns, Victimized Yet Again, by Ross Perlin the author of “Intern Nation: How to Earn Nothing and Learn Little in the Brave New Economy.”

Saturday, July 18, 2015

State by state variations in organ donation policy in the U.S. have little effect: JAMA Internal Medicine

The Effect of State Policies on Organ Donation and Transplantation in the United States  
Paula Chatterjee; Atheendar S. Venkataramani ; Anitha Vijayan ; Jason R. Wellen; Erika G. Martin

JAMA Intern Med. Published online June 01, 2015. doi:10.1001/jamainternmed.2015.2194


Abstract:
"Importance  Shortages in transplantable solid organs remain a critical public health challenge in the United States. During the past 2 decades, all states have implemented policies to increase organ supply, although their effectiveness is unknown.

Objective  To determine the effects on organ donation and transplantation rates of state policies to provide incentives for volunteer donation.

Design, Setting, and Participants  Using a quasi-experimental design and difference-in-differences regression analyses, we estimated the effect of policies in all 50 states and the District of Columbia on organ donors per capita and the number of transplantations from January 1, 1988, to December 31, 2010. Analyses were also stratified by type of donor (living vs deceased). Data were derived from the United Network for Organ Sharing. All data collection occurred between July 7 and September 27, 2013.

Exposures  Policies of interest were the presence of first-person consent laws, donor registries, dedicated revenue streams for donor recruitment activities, population education programs, paid leave for donation, and tax incentives. Information on states’ passage of various policies was obtained from primary legislative and legal sources.

Main Outcomes and Measures  The number of organ donors and transplantations per state, per year, during the study period.

Results  From 1988 to 2010, the number of states passing at least 1 donation-related policy increased from 7 (14%) to 50 (100%). First-person consent laws, donor registries, public education, paid leave, and tax incentives had no robust, significant association with either donation rates or number of transplants. The establishment of revenue policies, in which individuals contribute to a protected state fund for donation promotion activities, was associated with a 5.3% increase in the absolute number of transplants (95% CI, 0.57%-10.1%; P = .03). These associations were driven by a 4.9% increase in organ donations (95% CI, 0.97%-8.7%; P = .01) and an 8.0% increase in transplants (95% CI, 3.1%-12.9%; P = .001) from deceased donors as opposed to changes among living donors or transplants from living donors.


Conclusions and Relevance  Nearly all state-level policies to encourage organ donation have had no observable effect on the rate of organ donation and transplantation in the United States. The one exception was the establishment of revenue policies to promote organ donation, which may have led to small increases in organ donations and transplantations from deceased donors. New policy designs are needed to increase donation rates and curtail the widening gap between organ supply and demand."

Friday, July 17, 2015

In France, children born to surrogates become legal, even while surrogacy does not

The NY Times has the story: France: Surrogate Children Win Legal Recognition

"France’s highest court, the Court of Cassation, on Friday granted legal recognition to surrogate children, in a major turnaround that will make their daily lives easier and could lead to greater acceptance of new forms of families. The court ruled that while surrogacy would remain banned in France, children born abroad through this practice would now be legally tied to their parents and would be granted birth certificates and immediate means to prove their French citizenship. Surrogacy procedures are used by heterosexual couples unable to conceive, gay couples, and single parents. Until now, surrogate children were deprived of any legal connection to their parents, or any civil status in France. These children could not get automatic ID cards or passports, or register for state health care or other services."

Thursday, July 16, 2015

The market share of living languages

Some very interesting data graphics here (compare Chinese, in all its dialects, and English...first as native languages, and then as languages being learned around the world).
Proportional Pie Chart of the World’s Most Spoken Languages

Wednesday, July 15, 2015

Taiwan moves to criminalize transplant tourism to China


Taiwan Shuts Down Organ Transplant Tourism, By Jenny Li, Epoch Times |

"Taiwan’s Parliament has made amendments to its organ transplantation law that would have the effect of criminalizing the transplantation of organs from executed prisoners in China, part of a global trend to halt thetrafficking of human organs in China.


In a June 12 session in Taiwan’s Legislative Yuan, a number of important amendments to the Human Organ Transplant Ordinance were read and passed as law.
Under the updated legislation, patients who travel abroad to receive an organ acquired by illegal means can be sentenced up to five years in jail and face fines from $NT300,000 (about $9,700) up to $NT15,000,000 (about $484,000).
The new amendments place some of the responsibility of regulation on doctors and hospitals. Doctors must file a report for any patient who receives a transplant overseas and carries out follow-up treatment in the country. Both doctors and hospitals are subjected to fines of up to $NT150,000 (about $4,840) if they fail to submit reports. Medical institutions and staff will incur criminal charges for filing false reports."

Tuesday, July 14, 2015

Critique of the "Swedish model" for sex work laws

The New Republic published an interesting critique: The Problem With the "Swedish Model" for Sex Work Laws

"Sweden’s landmark 1999 sex work legislation—presented as decriminalizing the seller of sex while criminalizing the client—is aggressively marketed as a “progressive solution” to prostitution internationally. Versions of the “Swedish model” have been implemented in Norway, Iceland, and Canada, and last week a version was adopted in Northern Ireland. The intention, we’re told, is to “reduce demand” for paid sex: shrinking, then ultimately abolishing, the sex trade.

"It’s too bad that the reality of the law is not so simple, nor so uncomplicatedly progressive.
...
"For street-based sex workers, a potential client driving past will be nervous and keen to agree to terms speedily if his role is criminalized, and to keep his business the sex worker has far less time to make crucial assessments about whether he seems safe. Research into anti-client laws around Vancouver street-based sex work found that, “without the opportunity to screen clients or safely negotiate the terms of sexual services … sex workers face increased risks of violence, abuse, and HIV.” The Norwegian government writes about its own law: “Women in the street market report [having] a weaker bargaining position and more safety concerns now than before the law was introduced.”

"While sex workers are not prosecuted simply for selling sex under the Swedish model, various laws continue to be used against them in punitive ways. “Operation Homeless,” the memorably-named Norwegian police initiative, evicted people suspected of selling sex—a law aimed at “pimps,” but used against sex workers’ landlords.

"When the Norwegian Police were pursuing “Operation Homeless,” they used surveillance to find targets for eviction—but they also evicted sex workers who came to their attention in other ways. A group of sex working Nigerian women were evicted—and left homeless—after reporting that they had been the victims of rape, a situation that illuminates the comment by the Norwegian government that “the threshold for reporting a violent customer to the police also seems to be higher after the law. People in prostitution are afraid that such actions will come back to [haunt] them at later stages.” Sex workers—including people with EU residency—are aggressively deported, and their deportation orders include commentary like: “She has not maintained herself in an honest manner.” 

Monday, July 13, 2015

The Economist as Engineer at Exeter, July 14 and 15

Tomorrow is the conference for which I traveled to England, here's the announcement:

Economic Design: The Economist as an Engineer 14-15 July 2015

Al Roth, winner of the Nobel Prize 2012 in Economics, will receive an honourable doctorate from the University of Exeter. The Department of Economics with funding from the South West Doctoral Training Centre (SWDTC) and the University of Exeter Business School is proud to host a workshop in honour of Al Roth and his contribution to market design.
How to bring different parties together in the best possible way is a key economic problem. Examples of situations where this problem arises include matching children with different schools, interns with internships, and kidneys or other organs with patients who require transplants. The two-day workshop will focus on applying economic theory to solutions for "real-world" problems.

Speakers

NameInstitutionPaper
Alvin RothStanford University"Who Gets What and Why: The New Economics of Matchmaking and Market Design" and "Kidney exchange"
Vincent CrawfordUniversity of OxfordEfficient Mechanisms for Level-k Bilateral Trading
Bradley RuffleWilfrid Laurier UniversityWaiting to Cooperate? Cooperation in one-stage and two-stage games
Joana PaisUniversity of LisbonAffirmative action through minority reserves: An experimental study
Surajeet ChakravartyUniversity of ExeterCommunicating with an ignorant agent
Burak CanMaastricht UniversityComparing Orders, Rankings, Queues, Tournaments and Lists
Dorothea KueblerWZB BerlinCollege Admissions with Entrance Exams: Centralized versus Decentralized
Luke LindsayUniversity of ExeterHow to organise a conference: A market design approach
Dirk EngelmannHumboldt UniversityDoes a Buyer Benefit from Bad Reputation? Theory and Experiments on Auctions with Default
Elizabeth BaldwinLSEUnderstanding Preferences: "Demand Types", and the Existence of Equilibrium with Indivisibilities
As part of the workshop Al Roth will present a public talk, details below: 
Who Gets What and Why: The New Economics of Matchmaking and Market DesignTuesday 14th July at 2pm – 3.30pm
Streatham Court A
Please register your attendance online – REGISTER HERE

Workshop programme





































Sunday, July 12, 2015

I speak at the Bristol Festival of Ideas: Monday July 13

Here's the announcement:


Alvin Roth

Who Gets What - And Why: The Hidden World of Matchmaking and Market Design
Economics/
Mon 13 July 2015
18:15-19:15 
 In many parts of life – jobs, housing, medical care, education, even a date on the internet – price is not the only determinant of who gets what. So how do the other processes that influence who gets which goods, jobs, university places and partners really work? In Who Gets What, Nobel Prize-winning economist Alvin Roth uncovers the global rules of how markets allocate, how matchmaking shapes lives, where markets exist that we may not even realise, and how everything about our biggest experiences – from getting accepted at university or living where we want – can be better understood and negotiated when one understands the design of those matching markets. The distribution of rewards is often unfair, but it’s seldom as random as it seems. Roth reveals just how much of our life takes place in marketplaces, and leads us to a new understanding of who gets what and why. He sheds new light on the politics of free markets and how many things that we choose in life also must choose us.
This event is part of the build-up to the annual Festival of Economics – an initiative of Festival of Ideas. The Festival of Economics takes place 12-14 November and will be launched in early September.

How to Book/

The event is fully booked and we have started a waiting list (follow booking link to add yourself). There are always empty seats due to no-shows, so you are welcome to come and queue for those on the night. We will admit as many as we can 5 minutes before the start.

Saturday, July 11, 2015

Cheating in China on (American) college admissions

Inside Higher Ed has the story: In China, No Choice But to Cheat?
July 9, 2015 By
"EUGENE, Ore. -- Is the admission process broken for Chinese applicants to American colleges?
Variations of that question came up again and again during sessions on Wednesday at the Overseas Association for College Admission Counseling [OACAC] conference. Persistent concerns about standardized test fraud, doctored transcripts and fake admission letters -- and the role of agents in helping to "pollute" the application process (as one session description put it) -- are causing some to worry that Chinese students might think cheating is their only choice.
"We need to make it [the application process] safe for honest applicants," said Terry Crawford, the chief executive officer and co-founder of InitialView, a video interviewing company based in Beijing.
"There's a perception in China that the system is rigged, that if you pay enough money you're going to get the results that you want," Crawford said. He cited a recent China Newsweek article laying out the process and prices for cheating on the Test of English as a Foreign Language (TOEFL) as just one example of the type of story that feeds into this perception (the reporter received test answers during the exam via a small, wireless-enabled watch)."
**************

Interestingly, Initial View, the company that Terry Crawford and Gloria Chyou founded in China, was initially founded to address the problem of fraud in English language tests, by offering applicants the opportunity to make a video of an unscripted interview that they conduct, to be sent to colleges, who can then confirm the fluency of the speaker, and later verify that the student who enrolls is the one who took the interview.

Friday, July 10, 2015

NBER workshop on Market Design: call for papers (October 23-24, in Cambridge)

Mike Ostrovsky and Parag Pathak have announced the following call for papers:

From:  Michael Ostrovsky and Parag Pathak
To:  NBER Market Design Working Group

The National Bureau of Economic Research workshop on Market Design is
a forum to discuss new academic research related to the design of
market institutions, broadly defined. The next meeting will be held in
Cambridge, Massachusetts, on October 23-24, 2015.

We welcome new and interesting research, and are happy to see papers
from a variety of fields. Participants in the past meeting covered a
range of topics and methodological approaches.  Last year's program
can be viewed at:  http://conference.nber.org/confer/2014/MDs14/program.html

The conference does not publish proceedings or issue NBER working
papers - most of the presented papers are presumed to be published
later in journals.

There is no requirement to be an NBER-affiliated researcher to
participate.  Younger researchers are especially encouraged to submit
papers.

If you are interested in presenting a paper this year, please
upload a PDF version by August 1, 2015 to this link:
http://papers.nber.org/confsubmit/backend/cfp?id=MDf15

Preference will be given to papers for which at least a preliminary
draft is ready by the time of submission. Only authors of accepted
papers will be contacted.

For presenters and discussants in North America, the NBER will cover
the travel and hotel costs. For speakers from outside North America,
while the NBER will not be able to cover the airfare, it can provide
support for hotel accommodation.

There are a limited number of spaces available for graduate students
to attend the conference, though we cannot cover their costs. Please
email ppathak@mit.edu a short nominating paragraph.

Please forward this announcement to any potentially interested
scholars.  We look forward to hearing from you.

Maclean's review of Who Gets What and Why

In Canada, Maclean's Magazine reviews my new book:

Marketplaces are everywhere—even in online dating
Book review: A look at what makes good market design from game-theory pioneer Alvin E. Roth  by James Brenton, July 9, 2015

The last sentence of the review:
"This book is his way of sharing what he learned along the way, making it an intriguing field guide from a true pioneer."

Thursday, July 9, 2015

What do employers learn from interviews? Can they be replaced?

The NY Times had a recent column covering the latest version of this old debate about the informativeness of interviews:

ROBO RECRUITING--Can an Algorithm Hire Better Than a Human?

"A new wave of start-ups — including Gild, Entelo, Textio,Doxa and GapJumpers — is trying various ways to automate hiring. They say that software can do the job more effectively and efficiently than people can. Many people are beginning to buy into the idea. Established headhunting firms like Korn Ferry are incorporating algorithms into their work, too.

"If they succeed, they say, hiring could become faster and less expensive, and their data could lead recruiters to more highly skilled people who are better matches for their companies. Another potential result: a more diverse workplace. The software relies on data to surface candidates from a wide variety of places and match their skills to the job requirements, free of human biases."

Wednesday, July 8, 2015

Greece and Iran: two very different deadlines

Deadlines are often an important element of economic design, from the design of auctions like eBay's, whose auctions have a well specified deadline after which no more bids are accepted, to negotiations in which e.g. the date at which a labor contract expires may be the deadline for calling a strike.. But the deadlines in the news for a financial bailout of Greece, and Greek banks, is very different from the (repeated) deadlines for nuclear negotiations with Iran.  In the case of Greece, banks will really fail soon without some help--the deadline is real. In the case of Iran, the deadlines are supposed to concentrate the minds of negotiators, but they have already been extended multiple times...


Tuesday, July 7, 2015

Podcast: Russ Roberts interviews me on EconTalk, about Who Gets What and Why

 Matching Markets: EconTalk Episode with Alvin Roth--Hosted by Russ Roberts, a one-hour podcast/interview about my new book (which you can buy here:)

Tim Harford reviews Who Gets What and Why in the FT

Tim Harford's review in the Financial Times is here: In search of the perfect match

His closing paragraph:
"Economists such as Alvin Roth are like engineers or doctors. They cannot settle for understanding a system in theory; they must solve practical problems too. It’s a hopeful direction for economics — and an essential one, if economists aren’t to be left on the shelf themselves."

**********
You can also read the piece on Harford's blog, The Undercover Economist

Monday, July 6, 2015

Straw in the wind: Google's Waze is piloting a ridesharing marketplace in Israel

Ynet has the story:
Google's Waze to start carpooling pilot program in Israel
Mapping company launching RideWith, which will allow commuters to pay fellow drivers a small fee to share rides with the help of Waze's navigation system

"Google-owned online mapping company Waze is launching a carpooling pilot program in Israel where commuters pay fellow drivers a small fee for a ride to and from work.

"The new application, called RideWith, will use Waze's navigation system to learn the routes drivers most frequently take to work and match them up with people looking for a ride in the same direction.
...
""We're conducting a small, private beta test in the greater Tel Aviv area for a carpool concept, but we have nothing further to announce at this time," Waze told Reuters of its foray into the increasingly competitive field of ride-sharing.

Drivers will be limited to just two journeys a day and will not be able to earn a salary from RideWith, a source close to the company said, differentiating it from businesses such as Uber, where drivers can turn a profit.

Should RideWith be rolled out globally, this limitation could help it avoid the backlash Uber is facing in a number of countries that want to protect professional taxi drivers."
****************

Stay tuned...

New York City’s high school admissions process: an excerpt from Who Gets What and Why, in Chalkbeat

Chalkbeat has a brief excerpt from my new book, Who Gets What and Why:

Here's the link to what they have to say (or rather what they have me saying, in an excerpt from Chapter 9 "Back to School"):
Why New York City’s high school admissions process only works most of the time

Below are two paragraphs from the excerpt, concerning Neil Dorosin, who worked for the NYC Department of Education at the time, and is now the Johnny Appleseed of school choice as the director of the Institute for Innovation in Public School Choice (IIPSC):

One reason that principals gained confidence was that DOE staffers did a good job communicating to them how the new system would work. Crucial in that effort was Neil Dorosin, the DOE’s director of high school operations. The task of informing everyone about the new algorithm fell to Neil and his colleagues in the Office of Enrollment Services. Among those he had to educate was his ultimate boss, Chancellor Joel Klein.

“One day I got called down to talk to him,” Neil recalls. “He was upset because he had a friend whose child didn’t get into their first-choice school. The friend had a cousin whose child had gotten into the school, and it was their last choice. I had to explain why the system had to function that way” (i.e., to make it safe to list true preferences).

Sunday, July 5, 2015

The lectures of the The 26th Jerusalem School in Economic Theory "Dynamic Games" - 2015, are available on video

Videos of the lectures are available here:

The slides are available here

Journal of Human Trafficking, Issue 1, 2015, on kidneys

Issue 1 of the Journal of Human Trafficking contains this article by Alexander Capron and Frank Delmonico. I've highlighted in the abstract two points worth noting--the first involves some untested, but testable empirical claims about what would happen if countries in the first world allowed compensation for donors. (It would be nice to have some empirical evidence...)  The second point is that it is now agreed by everyone that financial disincentives for donating should be removed. (Let's get organized on that, shall we?)


DOI:10.1080/23322705.2015.1011491
Alexander M. Caprona & Francis L. Delmonico
pages 56-64

Published online: 28 Apr 2015

Abstract
Most countries now have national legislation that outlaws both human trafficking and organ trafficking. However, international conventions and domestic laws alone have not been enough to stop the trade in organs. As of 2007, a conservative estimate was that 5% of the approximately 100,000 organs transplanted annually were derived from exploiting the poorest and most vulnerable people in society; anti-trafficking efforts have since reduced, though not eliminated, this practice. The Declaration of Istanbul (DoI) was created in 2008 to engage medical professional societies to collaborate with governments and others in combating organ sales, transplant tourism, and trafficking in human organs. In 2010, the Declaration of Istanbul Custodian Group (DICG) was formed to actively promote and to monitor the implementation of the DoI principles. The removal of prohibitions on organ purchases, which is now being promoted in some wealthy nations, is unlikely to shorten transplant waitlists (because organ sales crowd out voluntary, unpaid donation) and would be based on the false view that such sales do not exploit the sellers. To combat such exploitation, the DICG advocates for ratification and enforcement of the new “Council of Europe Convention against Trafficking in Human Organs,” as a complement the Palermo Protocol to the United Nations organized crime convention that prohibits human trafficking for organ removal. To increase ethical organ donation by living related donors, the DICG encourages countries to adopt means to cover donors’ financial costs, which now discourage donation. It also works with the World Health Organization to encourage ministries of health to develop deceased donation to its maximum potential toward the goal of achieving national self-sufficiency in organ transplantation so that patients do not need to travel to foreign destinations to undergo organ transplantation using kidneys and partial livers purchased from poor and vulnerable people. Success in combating human trafficking for organ removal and organ trafficking will be greatly enhanced through organizations like the DICG forging strong relationships with human rights organizations.

An interview in the Times of India, on Who Gets What and Why

Saturday, July 4, 2015

Refugee resettlement as a matching problem

There are a lot of displaced people in the world today, both outside their country of origin and within. The conflict in Syria is a big contributor. The poverty in Africa is another. Here's a recent NY Times story, about a UN report, whose headline summarizes the story well:
60 Million People Fleeing Chaotic Lands, U.N. Says

The international refugee accords place most responsibility for resettlement on the "country of first asylum."  If you were smuggling yourself out of Africa, or Syria, you'd have good reason, therefore, to try to get to Sweden before declaring yourself a refugee, but it's a lot easier to get to Turkey or Greece or Italy.  However some classes of refugee can seek resettlement elsewhere, and the U.S. takes a small number of these (around 70,000/year).

American policy is to try to settle refugees across the country, the idea being that this might ease assimilation, and avoid overburdening particular cities and towns. But, of course, once refugees get to the U.S., they are completely free to move around. So there's a matching problem of refugees and cities.

The case of Somali refugees makes this clear: although they've been resettled around the country, many of them quickly move to join the growing community in and around Lewiston, Maine. (Here's a nice story dated 2007...
Letter From Maine: New in Town--Somali refugees began arriving in Lewiston, Maine (pop. 36,000) six years ago. Word spread that Lewiston had good schools, a low crime rate and cheap housing — and the Somalis began arriving in droves.

And here's a Wikipedia page: History of the Somalis in Maine

The point of all this is that people aren't passive, you can't keep them where they are sent if they don't want to stay there (even if moving means giving up various kinds of refugee assistance).

Hillel Rapoport of the Paris School of Economics has been thinking of this in a European context, in which one of the questions is to which countries should refugees be resettled?  How a tradable refugee-admission quota system could help solve the EU’s migration crisis.  Even in Europe, I'm not sure how well refugees can be resettled in the countries to which they are assigned, but the barriers to moving are probably substantially higher than for moves in the U.S.

The EU is thinking about moving refugees, maybe in directions they want to go (although this isn't clear): see e.g. this recent story. EU leaders agree to relocate 40,000 migrants. "EU leaders holding late-night talks in Brussels have agreed to relocate tens of thousands of migrants who have arrived in Italy and Greece." But it's hard, and they aren't really reaching agreement: In Testy Debate, E.U. Leaders Fail to Agree on Quotas to Spread Migrants Across Bloc

So, we have a matching problem here. How to resettle refugees to places that they are willing to stay in, while meeting the other goals that we'd like to achieve?

It's not a bad question to ponder on the 4th of July, for a nation made up of immigrants, many of whom escaped from somewhere to come to the USA.

Podcast interview about Who Gets What and Why

Here's Episode 196 – Alvin Roth from Smartpeoplepodcast.com. The interview starts at around one and a half minutes from the beginning of the audio file.

Friday, July 3, 2015

Arrow Lecture in Jerusalem by Drew Fudenberg - Learning and Equilibrium in Games (video)

Drew begins his general-audience lecture by saying "I can't imagine anyone I would rather give a talk for than Ken Arrow." He then continues with a brief history of game theory.

Thursday, July 2, 2015

The Amsterdam court rules on school choice

Hessel Oosterbeek sends the following update on the school choice court case seeking to allow the exchange of school places that were allocated by a deferred acceptance algorithm with multiple tie breaking.  He writes: 

"Attached is a link to the decision of the judge in Amsterdam. Important considerations for the judge are that: i) trading would harm students who have a higher position on the waiting lists, and ii) allowing trade this year makes the system unusable in the future. The judge also writes that the rules were clear.

Overall it reads that the judge is well informed."

Google Translate allows you to make reasonable sense of the judge's decision in English...
****************

Here is a blog post, also in Dutch, but Google Translate does a good enough job so that you can see that this is a pretty detailed discussion of various algorithms, strategy-proofness, the judge's decision, etc. It seems that the public discussion is going on at a pretty high level: 
Schoolstrijd in Amsterdam
Waarom ruilen niet mag, ook niet als beide partijen er beter van worden
(School Fight in Amsterdam

Why should not change, even if both parties are better off)

Wednesday, July 1, 2015

Video conversation about Who Gets What on Yahoo! Finance


Below is a link to a Yahoo! Finance video interview (about 5 minutes), made when I was in NYC for the launch of  Who Gets What and Why the first week in June. Unlike most of the interviews I've done, this one has video footage added, so instead of always looking at me and the interviewer, there are scenes of things that we're talking about--the stock exchange, an Amazon warehouse, etc..

Nobel Prize-winning economist on the elusive factors that make markets work

Tuesday, June 30, 2015

Scott Kominers on market design (and a conference in August)





Prof. Scott Duke Kominers: ‘There are many new areas of market design worth exploring’


Kominers 1
Prof. Scott Duke Kominers is a Junior Fellow at the Harvard Society of Fellows, a Research Scientist at the Harvard Program for Evolutionary Dynamics, and an Associate of the Harvard Center for Research on Computation and Society. He also will be a General Co-Chair at AMMA 2015, The Third Conference on Auctions, Market Mechanisms and Their Applications. We talked with him about the upcoming conference and about the most interesting potential areas in market design and the challenges this field will face in the near future.

AMMA 2015 will be held August 8-9, 2015 in Chicago. What will the main focus of the conference be?

AMMA focuses on the theory and practice of market design, at the intersection of economics, computer science, operations research, and applied math.

What are, in your opinion, interesting potential areas researchers in the field of market design should take into account?



Kominers
Prof. Scott Duke Kominers, General Co-Chair at AMMA 2015

Market design has already proven useful in addressing real-life problems in settings like school choice, entry-level labor markets, kidney exchange, and auction design. Financial market design has flourished recently, as has the design of intellectual property markets. Personally, I am especially excited about “generalized matching,” which blends together ideas from matching and auction theory to show how markets with complex contract structure can be cleared using relatively simple mechanisms. I think there’s a lot of potential for generalized matching mechanisms to be useful in new real-world applications. In addition, there are many new areas of market design worth exploring: market designers are starting to think about the structure of healthcare marketplaces and adoption services. And of course, online platforms are everywhere. Furthermore, a popular press book on market design has just been published: http://www.hmhbooks.com/whogetswhat/index.html.

What challenges do you expect market design will face in the near future?

I think one of the greatest challenges going forward is about translation: we need to find good ways of teaching what we know about marketplace design to policymakers, entrepreneurs, and other practitioners. In some cases, there is work to be done in understanding how to simplify our mechanisms in ways that would make them more accessible to their users. Meanwhile, on the research side, market design has traditionally mixed powerful theory with empirical analysis, experiments, and computational methods. As we build more and more technical facility with our existing tools, and as we add new approaches to our toolkits, it is increasingly challenging – but also increasingly important – to make sure that we let real-world structure guide our methodological choices in applied work.

Monday, June 29, 2015

Changes in repugnance over time

Bloomberg news has some animated graphics showing the change over time in repugnance--as measured by laws at the state level--for six issues that were or are controversial in America: interracial marriage, prohibition, women’s suffrage, abortion, same-sex marriage, and recreational marijuana.

This Is How Fast America Changes Its Mind, By Alex Tribou and Keith Collins

All of those have now had Federal rulings, except for recreational marijuana, which as of this writing has been legalized only in Colorado, Washington, Oregon and Alaska.  Stay tuned...

Sunday, June 28, 2015

Financial support for organ donors in New Zealand? A new bill proposed...

New Zealand's parliament will debate a bill to increase the financial support offered to organ donors.

Member’s Bill will boost financial support for organ donors

Chris Bishop
National List MP based in the Hutt Valley
25 June 2015
Member’s Bill will boost financial support for organ donors

Chris Bishop, National List MP based in the Hutt Valley, is delighted the Financial Assistance For Live Organ Donors Bill, a Member’s Bill in his name, has been drawn from the ballot and will be debated by Parliament.
The purpose of the Bill is to increase the financial assistance provided to people who, for altruistic reasons, donate kidney or liver tissue for transplantation purposes.
The Bill will increase the support for donors from the equivalent of the sickness benefit to the equivalent of 80 per cent of the donor’s pre-operation earnings – the same formula applied to income support for ACC recipients. The Bill also provides for the payment of childcare assistance for those who require it during their convalescence.
“I was inspired to pick up this Member’s Bill, which was originally put forward by Hon Michael Woodhouse, after talking to Sharon van der Gulik at one of my first meetings as a candidate in the election last year,” Mr Bishop says. “She had been living with renal failure for more than two years and needed 15 hours of dialysis a week – before her son donated one of his kidneys to her.
“At the public meeting, Mrs van der Gulik spoke of the financial hardship that her son faced in the six weeks he spent recovering from the procedure. She argued he deserved more. I agree.
“If this Bill passes into law, greater support will be available to people like Mrs van der Gulik’s son.
“Organ donation rates in New Zealand are improving, but are still too low. It’s important they increase - live kidney donation is the least expensive form of treatment for end-stage renal failure, and significantly improves life expectancy.
“This Bill is a small but important and helpful step to increasing the number of people who donate organs.
“Wider work to increase the number of donors is being led by the Minister of Health. Budget 2014 allocated $4 million over four years to set up a National Renal Transplant Service to increase the number of live kidney donor transplantations. The funding covers donor liaison co-ordinators and continuation of the New Zealand Kidney Exchange programme. Last year's funding increase builds on the $4 million invested in Budget 2012 to raise awareness and encourage more people to donate organs,” says Mr Bishop.