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Lexicographic Choice Under Variable Capacity Constraints

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Document pages: 37 pages

Abstract: In several matching markets, in order to achieve diversity, agents priorities are allowed to vary across an institution s available seats, and theinstitution is let to choose agents in a lexicographic fashion based on apredetermined ordering of the seats, called a (capacity-constrained)lexicographic choice rule. We provide a characterization of lexicographicchoice rules and a characterization of deferred acceptance mechanisms thatoperate based on a lexicographic choice structure under variable capacityconstraints. We discuss some implications for the Boston school choice systemand show that our analysis can be helpful in applications to select amongplausible choice rules.

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