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Organizing Time Banks: Lessons from Matching Markets

Andersson, Tommy LU ; Csehz , Ágnes ; Ehlers, Lars Hermann LU and Erlanson, Albin LU (2018) In Working Papers
Abstract
A time bank is a group of individuals and/or organizations in a local community that set up a common platform to trade services among themselves. There are several well-known problems associated with this type of banking, e.g., high overhead costs for record keeping and difficulties to identify feasible trades. This paper demonstrates that these problems can be solved by organizing time banks as a centralized matching market and, more specifically, by organizing trades based on a non-manipulable mechanism that selects an individually rational and time-balanced allocation which maximizes exchanges among the members of the time bank (and those allocations are efficient). Such a mechanism does not exist on the general preference domain but on... (More)
A time bank is a group of individuals and/or organizations in a local community that set up a common platform to trade services among themselves. There are several well-known problems associated with this type of banking, e.g., high overhead costs for record keeping and difficulties to identify feasible trades. This paper demonstrates that these problems can be solved by organizing time banks as a centralized matching market and, more specifically, by organizing trades based on a non-manipulable mechanism that selects an individually rational and time-balanced allocation which maximizes exchanges among the members of the time bank (and those allocations are efficient). Such a mechanism does not exist on the general preference domain but on a smaller yet natural domain where agents classify services as unacceptable and acceptable (and for those services agents have specific upper quotas representing their maximum needs). On the general preference domain, it is demonstrated that the proposed mechanism at least can prevent some groups of agents from manipulating the mechanism without dispensing individual rationality, efficiency, or time-balance. (Less)
Please use this url to cite or link to this publication:
author
organization
publishing date
type
Working Paper
publication status
published
subject
keywords
market design, time banking, priority mechanism, non-manipulability, D47, D82
in
Working Papers
issue
2018:19
pages
25 pages
language
English
LU publication?
yes
id
6ca35dce-2508-4c3d-97d8-78fb8796b052
alternative location
https://swopec.hhs.se/lunewp/abs/lunewp2018_019.htm
date added to LUP
2018-09-04 15:43:39
date last changed
2018-11-21 21:41:25
@misc{6ca35dce-2508-4c3d-97d8-78fb8796b052,
  abstract     = {A time bank is a group of individuals and/or organizations in a local community that set up a common platform to trade services among themselves. There are several well-known problems associated with this type of banking, e.g., high overhead costs for record keeping and difficulties to identify feasible trades. This paper demonstrates that these problems can be solved by organizing time banks as a centralized matching market and, more specifically, by organizing trades based on a non-manipulable mechanism that selects an individually rational and time-balanced allocation which maximizes exchanges among the members of the time bank (and those allocations are efficient). Such a mechanism does not exist on the general preference domain but on a smaller yet natural domain where agents classify services as unacceptable and acceptable (and for those services agents have specific upper quotas representing their maximum needs). On the general preference domain, it is demonstrated that the proposed mechanism at least can prevent some groups of agents from manipulating the mechanism without dispensing individual rationality, efficiency, or time-balance. },
  author       = {Andersson, Tommy and Csehz , Ágnes   and Ehlers, Lars Hermann and Erlanson, Albin},
  keyword      = {market design,time banking,priority mechanism,non-manipulability,D47,D82},
  language     = {eng},
  note         = {Working Paper},
  number       = {2018:19},
  pages        = {25},
  series       = {Working Papers},
  title        = {Organizing Time Banks: Lessons from Matching Markets},
  year         = {2018},
}