From 2f5808860750a5b9bccc4eb9757571b07c47b2bd Mon Sep 17 00:00:00 2001 From: thomassargent30 Date: Sun, 8 Dec 2024 11:22:45 -0500 Subject: [PATCH] Tom's Dec 8 tweaks to composite matching lecture --- lectures/_static/quant-econ.bib | 14 ++++++++++++++ lectures/match_transport.md | 17 ++++++++++------- 2 files changed, 24 insertions(+), 7 deletions(-) diff --git a/lectures/_static/quant-econ.bib b/lectures/_static/quant-econ.bib index 81ad8792..38baf626 100644 --- a/lectures/_static/quant-econ.bib +++ b/lectures/_static/quant-econ.bib @@ -3,6 +3,20 @@ Note: Extended Information (like abstracts, doi, url's etc.) can be found in quant-econ-extendedinfo.bib file in _static/ ### +@techreport{boerma2023composite, + title={Composite sorting}, + author={Boerma, Job and Tsyvinski, Aleh and Wang, Ruodu and Zhang, Zhenyuan}, + year={2023}, + institution={National Bureau of Economic Research} +} + +@article{delon2011minimum, + title={Minimum-weight perfect matching for non-intrinsic distances on the line}, + author={Delon, Julie and Salomon, Julien and Sobolevski, Andrei}, + journal={arXiv preprint arXiv:1102.1558}, + year={2011} +} + @article{sargent1973stability, title={The stability of models of money and growth with perfect foresight}, author={Sargent, Thomas J and Wallace, Neil}, diff --git a/lectures/match_transport.md b/lectures/match_transport.md index 343bfb5f..a033164f 100644 --- a/lectures/match_transport.md +++ b/lectures/match_transport.md @@ -31,8 +31,8 @@ import pandas as pd ## Introduction This notebook presents Python code for solving **composite sorting** problems of the kind -studied in the August 2023 paper *Composite Sorting* by Job Boerma, Aleh Tsyvinski, Ruodo Wang, -and Zhenyuan Zhang. +studied in *Composite Sorting* by Job Boerma, Aleh Tsyvinski, Ruodo Wang, +and Zhenyuan Zhang {cite}`boerma2023composite`. +++ {"user_expressions": []} @@ -487,7 +487,11 @@ Suppose that agents $i$ of type $z_i$ and $j$ of type $z_j$, with $z_i < z_j,$ a Then there is an equal number of agents from each side in $\{i+1, \dots, j-1\},$ if this set is not empty. Indeed, if this were not the case, then some agent $k \in \{i+1,j-1\}$ would be matched with some agent $\ell$ with $\ell \notin \{i,\dots, j\},$ i.e., there would be types -$$z_i < z_k < z_j < z_\ell$$ + +$$ +z_i < z_k < z_j < z_\ell +$$ + with matches $(z_i,z_j)$ and $(z_k, z_\ell),$ violating the no intersecting pairs property. We conclude that we can define a binary relation on $[N]$ such that $i \sim j$ if there is an equal number of agents of each side in $\{i,i+1,\dots, j\}$ (or if this set is empty). @@ -937,8 +941,7 @@ example_off_diag.plot_layer_matching(layer_example, matching_layer) We will now present two key results in the context of OT with concave type costs. -We refer to the original papers XXXX (can cite both Boerma et al (2023) and [Delon, Salomon, Sobolevski (2011)](https://link.springer.com/article/10.1007/s10958-012-0714-6)) -XXXX for proofs. +We refer {cite}`boerma2023composite` and {\cite}`delon2011minimum` for proofs. Consider the problem faced within a layer, i.e., types from $Y \sqcup X$ @@ -1603,7 +1606,7 @@ The dual solutions of $V_D$ and $W_D$ are related by $u_x = \alpha_x - \phi_x$ a The dual solution $(u,v)$ of $W_D$ can be interpreted as equilibrium utilities of the agents, which include the individual specific amenities and equilibrium shadow costs. -The authors propose an efficient method to compute the dual variables from the optimal matching (primal solution) in the case of composite sorting. +{cite}`boerma2023composite` propose an efficient method to compute the dual variables from the optimal matching (primal solution) in the case of composite sorting. Let's generate an instance and compute the optimal matching. @@ -2047,7 +2050,7 @@ print('Value of primal solution: ', (assignment * example_assignment.cost_x_y).s +++ {"user_expressions": []} -We now replicate the empirical analysis carried out by the authors. +We now replicate the empirical analysis carried out by {cite}`boerma2023composite`. The dataset is obtained from the American Community Survey and contains individual level data on income, age and occupation.