Fourth edition · Macau

Greater Bay Area
Market Design
Workshop 2026

Two days of research talks and discussion on market design, matching, mechanism design, and applications.

Programme

Thursday 22 & Friday 23 October

The detailed running order is being finalized. Confirmed contributions appear below; session times, room details, and breaks will be published here when available.

Schedule forthcoming

Confirmed contributions

Talk programme

Research talks

14 confirmed
01Talk

Soumen Banerjee

Central University of Finance and Economics

Involution and Collusion in Ranked Incentive Systems

Read abstract

Ride-hailing platforms increasingly use rank-based dispatch: peak-period compliance earns points that translate into lean-period priority. We study two consequences: an involution mechanism (rankings promote peak-time acceptance, expand hours and mileage, suppress unit pay, increase fatigue-related safety risk) and a collusion mechanism (rank becomes reputation capital that discourages multihoming, partitions the driver pool, and softens wage competition). We develop a dynamic model of rank-based dispatch and formally derive the involution and collusion mechanisms. Using driver surveys, municipal monitoring reports, and a staggered quasi-experiment around a cab platform's ranking intensification, we document significant empirical support. Findings motivate targeted regulation of rank-based incentives.

02Talk

Yao Cheng

Southwestern University of Finance and Economics

Efficient reassignments under distributional and dual-priority-respecting constraints

Read abstract

Inspired by major transition programs, this paper studies the design of exchange mechanisms within a framework that incorporates both distributional constraints and dual-priority-respecting constraints. We propose two mechanisms that match students to majors in an efficient way, while respecting each major's distributional constraints and dual-priority-respecting constraints. The efficient mechanisms are based on eligibility maximization (EM) and two processes for identifying improvement cycles — TiE cycles and ToE cycles.

03Talk

Wenqian Wang

Southwestern University of Finance and Economics

Confidential Mechanisms

Read abstract

Motivated by the pervasive need for privacy, we investigate the confidentiality of dynamic mechanisms that implement a given social choice function. We introduce two privacy criteria, intrusiveness and exposedness. A mechanism is confidential if and only if neither of the two proposed transformations (subtracting duplicate actions and obfuscating superfluous information) can be applied to the associated gradual mechanisms. We provide confidential mechanisms for the second-price auction rule and the hierarchical exchange rule.

04Talk

Flip Klijn

IAE-CSIC

Conditional Acceptance in School Choice

Read abstract

We study the conditional acceptance mechanism in the standard school choice model. Equilibrium sets are nested in the cap and coincide with the stable set for kappa ≤ 2, but unstable equilibrium outcomes can arise for any kappa ≥ 3. Our main results compare conditional acceptance with deferred acceptance: Ergin-acyclicity is sufficient but not necessary for conditional acceptance to implement the set of stable matchings.

05Talk

Xiang Han

Shanghai University of Finance and Economics

Flexible Multi-unit Exchange: Theory and An Application to Blood Allocation with Replacement Donors

Read abstract

In 55 countries, volunteer, non-remunerated donations meet less than 22% of blood demand, necessitating replacement donor programs. Current first-come, first-served practices are inefficient. We introduce feasible schedule menus — a novel concept that enables flexible exchange rates — and propose weighted utilitarian mechanisms. Under suitable menus, these mechanisms are incentive compatible for donor revelation; priority mechanisms also ensure incentive compatibility for utility function revelation.

06Talk

Peter Katuščák

RWTH Aachen

Separating Contingent from Thinking in Strategy-Proof Matching Mechanisms

Read abstract

We experimentally examine to what extent non-truthtelling in strategy-proof matching mechanisms can be attributed to a failure of contingent thinking (FCT). When we remove the need to think contingently, we find no increase in truthtelling. If instead we inform applicants of contingency probabilities, removing the need to think contingently increases truthtelling. We conjecture non-truthtelling is instead caused by non-standard preferences or beliefs.

07Talk

Ziwei Wang

Peking University

Interim Agreements in Matching with Incomplete Information

Read abstract

We study stability in matching markets with two-sided incomplete information. We first introduce a notion of stability based only on iterative reasoning about rational blocking behavior in the absence of communication. We then develop a refinement that allows for self-enforcing blocking agreements. We discuss the relationship between these two notions and their implications for matching under incomplete information.

08Talk

Sombuddha Ghosh

Shanghai University of Finance and Economics

Dynamic Stability and the Timing of Blocking

Read abstract

We investigate a T-period version of the classic static one-to-one marriage problem proposed by Gale and Shapley (1962), allowing agents’ preferences to change over time based on their sequence of past partners. Agents contemplate blocking with the worst ‘credible’ outcome in mind after the block. Credible means that no continuation of a blocking can itself be blocked by the same criterion from the next period onwards. We also impose additional novel restrictions based on the timing of blocking, which determines how agents outside the blocking pair can respond in the period of blocking. We propose dynamic notions of a matching being stable, considering the worst-case scenario over current responses compatible with the timing of blocking and credible continuation matchings. We study conditions under which such a stable matching exists. Furthermore, we link these stable matchings to equilibrium outcomes of suitably defined non-cooperative games.

09Talk

Chiu Yu Ko

CUHK

Dynamic Budget Allocation Based on Performance Trajectories

Read abstract

Allocating public budgets to incentivize performance is difficult when absolute performance levels cannot be compared across heterogeneous units. This paper develops an axiomatic framework for budget allocation based on performance trajectories. We characterize families of rules that satisfy time consistency together with invariance conditions, and show how they govern treatment of historical performance and status-quo allocations.

10Talk

Bertan Turhan

Iowa State University

Implementing Cutoffs in Reserve Systems: The Case of a Supreme Court Ruling in India

Read abstract

India's affirmative action system — the world's largest — has been repeatedly reviewed by the Supreme Court of India. We formalize the legal principles established in Indra Sawhney (1992) and Ashoka Kumar Thakur (2008) as axioms and derive the corresponding allocation procedures. Our assignment rule eta* implements the Justice Bhandari remedy by reallocating unfilled OBC positions according to merit while holding the cutoff fixed, and merit-dominates every assignment rule consistent with the governing legal principles.

11Talk

Li Chen

Tongji University

More Choices or Better information? Strategic Applications in Centralized University Admissions

Read abstract

We study strategic application behavior in centralized university admissions. Using administrative data from a Chinese province, we document that students strategically submit portfolios of choices. Exploiting two sequential institutional reforms — an expansion in the number of choices and a shift from pre-exam to post-score preference submission — we find that the expansion shifts female students towards less selective first-choice universities, while post-score submission substantially improves targeting precision.

12Talk

Julien Combe

Ecole Polytechnique / CREST

Optimal paternalistic regulation of markets

Read abstract

Many markets are regulated for paternalistic reasons. We develop a mechanism-design framework that derives the optimal policy mix among price regulation, quantity controls, and prohibition. A planner allocates trade between privately informed buyers and sellers while disagreeing with their valuations. When the planner’s assessment preserves the ranking of agents, price instruments (e.g., sin taxes) are optimal. When willingness to trade instead signals bias, optimal regulation can restrict quantities or even prohibit transactions despite gains from trade. Behavioral interventions (e.g., nudges) offer two benefits: they improve selection into markets, and raise demand or supply for goods that are insufficiently traded.

13Talk

Yu Zhou

Southern University of Science and Technology

Social Choice under Network-constrained Dichotomous Preferences

Read abstract

We study social choice on network-constrained dichotomous domains, in which agents' approved alternatives are restricted to form a connected subset of an exogenously given network over alternatives. This restriction nests approval voting as the special case of a complete network, while capturing settings in which an agent's favored alternatives must be structurally clustered - adjacent public projects, compatible products in a retail network, or related roles within an organization. Our main result characterizes exactly which networks admit a social choice function that is onto and pairwise strategy-proof - a weakening of group strategy-proofness to coalitions of size at most two: such a function exists if and only if the network is a path graph. On path-graph networks, equivalently the single-plateaued dichotomous domain, we obtain a full characterization: every onto, pairwise strategy-proof social choice function is either a Left-Biased Rule or a Right-Biased Rule, two families that always select a commonly approved alternative when one exists and otherwise resolve conflict by favoring, respectively, agents positioned toward one end of the underlying order.

14Talk

Manshu Khanna

Peking University HSBC Business School

Affirmative Action's Cumulative Fractional Assignments

Read abstract

The Central Educational Institutions (Reservation in Teachers' Cadre) Act, 2019 provides for reserving teaching vacancies in India's central educational institutions for beneficiaries of its affirmative action policy. Reservation of teaching vacancies had been a contentious issue, and the act was introduced to resolve it after the Supreme Court's solution was met with protests from the Teachers' Union. Our paper demonstrates an impossibility result in the Supreme Court's solution and the act, which are flawed in reserving seats simultaneously at both the university and within its departments. To overcome this impossibility, we propose an alternative solution based on approximate implementation of fractional assignments, offering a promising middle-ground between the two disputed solutions practiced in India. This novel application demonstrates the practical relevance of the approximate implementation approach (Akbarpourand Nikzad(2020)) beyond the constraint structures examined in the literature.

Poster programme

Poster session

3 posters
15Poster

Yangyi Deng

CUHK (PhD student)

Aggregating Partitioned Data

Read abstract

This paper addresses a central challenge in composite index construction: aggregating data partitioned by exogenous constraints such as cost, privacy, or administrative reporting. We develop a family of non-additive aggregation methods by extending traditional capacities to partitioned data, introducing P-restricted decomposition integrals (P-restricted concave integral and P-restricted Choquet integral). Applying it to MSCI ESG ratings, we find that the concave–Choquet gap grows monotonically with partition coarseness.

16Poster

Guohao Li

CUHK (PhD student)

Fair One-to-Many Bargaining: Simultaneous Non-Discrimination Offers to Every Buyer

Read abstract

This paper studies a fair one-to-many bargaining protocol in which a seller simultaneously bargains with heterogeneous buyers under an ex ante non-discrimination (ND) constraint. This protocol functions as a credible commitment, allowing the seller to credibly threaten a buyer by agreeing with the other immediately. This reveals a sharp protection paradox: the low-value buyer is strictly worse off whenever ND binds. The results extend to an arbitrary number of buyers and persist under capacity constraints.

17Poster

Zhiwen Zheng

SWUFE (PhD student)

On the Dominance of Truth-telling in Gradual Mechanisms

Read abstract

Recent literature highlights the advantages of implementing social rules via dynamic game forms. We characterize when truth-telling remains a dominant strategy in gradual mechanisms, where agents progressively reveal their private information while acquiring information about others. Our first characterization hinges on the incentive-preservation of a basic transformation on gradual mechanisms called illuminating that transmits more information to an agent by partitioning her information sets. The second characterization is a single reaction-proofness condition where reaction refers to how one agent acts immediately after acquiring information about others. We apply these results to the second-price auction and the hierarchical exchange rule.

Free registration

Attend the 2026 workshop

Please register to attend the Greater Bay Area Market Design Workshop at the University of Macau on Thursday 22 and Friday 23 October 2026.

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Arrival guide

The University of Macau campus sits across the river from central Macau and is reached through a dedicated tunnel. Keep two building codes handy: N1 is the UM Guest House; E21B is the workshop venue.

N1 Guest HouseE21B Workshop UM tunnel
University of Macau campus map with arrows marking the N1 Guest House, E21B workshop venue, and the campus tunnel
Campus orientationFrom the tunnel to N1 and E21BTap the map to open it full-size.

Directions

  1. 01
    Taxi to UM Building N1

    From Macau Airport, a ferry terminal, or a land border, ask for the University of Macau Guest House in building N1.

  2. 02
    Use the campus tunnel

    After leaving the tunnel, the driver should take the first U-turn and head north. N1 is the last building on the left.

  3. 03
    Enter through N1’s main entrance

    Inside, pass the bank; the guest-house lift is on the left.

  4. 04
    Workshop at E21B

    E21B is south-west of N1 on the campus map. Allow time for the walk on your first morning.

Directions to the guesthouse in Chinese for taxi drivers

The building code is more useful than the English name. Take a screenshot now, or use the copy button.

目的地

澳門大學 N1 聚賢樓。過了隧道,掉頭向北行駛。該建築是左側最後一棟建築。

Choose your arrival

If you are already in Macau, the taxi route is straightforward. From Hong Kong International Airport, follow the airside Macao coach route carefully.

Macau Airport · Ferry terminals · Land borders

Taxi directly to N1

1

Join the taxi queue

Have the Chinese destination card open before you reach the front.

2

Ask for UM N1

The driver enters campus through the University of Macau tunnel from Taipa.

3

First U-turn after the tunnel

Head north; N1 is the final building on the left-hand side.

4

Guest-house lift

Use N1’s main entrance. The lift is on the left after the bank.

Hosted by

University of Macau

Department of Economics
Faculty of Social Sciences

Organized by Inácio Bó.