Job market paper · Forthcoming
Many-to-many Matching with Cluster-Approximated Spatial Constraints
The Scandinavian Journal of Economics
We characterize when spatially constrained many-to-many allocations remain completable and use a maximum-flow test to construct completion-preserving assignments.
Abstract: Many-to-many Matching with Cluster-Approximated Spatial Constraints
We study many-to-many matching with exact agent demands, exact slot quotas, and spatial composition constraints represented by a partition of agents into proximity clusters. At most one agent from each cluster may be assigned to a given slot. Although this local constraint is matroidal and induces a substitutable fixed-priority choice rule, exact demands and quotas couple completion globally across slots. Consequently, Deferred Acceptance and myopic Serial Dictatorship may terminate without a complete allocation even when one exists. In the quota-two benchmark, Deferred Acceptance has a uniform complete-feasibility guarantee if and only if there are exactly two clusters or the spatial constraint is nonbinding because every cluster is a singleton. We characterize completable partial allocations through cluster-based Hall inequalities and implement the resulting completion test using maximum flow. Building on this characterization, we introduce a completion-preserving priority mechanism that, under heterogeneous demands and capacities, produces a feasible and Pareto-efficient allocation satisfying replica-level no justified-envy under the layered priority order. It also satisfies replica-level pairwise stability when every slot has quota two. Simulations calibrated with administrative data on pharmacy duty schedules in Türkiye show that the mechanism clears the market in every reported scenario and improves model-implied rank outcomes under the generated preference profiles. These conclusions are robust to alternative cluster constructions, geographic specifications, and preference calibrations.
- Matching
- Spatial constraints