AIPIS 106 – Alvin E. Roth, Who Gets What – and Why: The New Economics of Matchmaking and Market Design

Today’s guest, Alvin E. Roth, has written a book about markets. If you are wondering what type of market - as Mr. Roth tells us himself - it’s not important what type of market. It’s the market itself. He guides us through the interview discussing chapters of his book, Who Gets What – and Why, with real life examples of the organ donation market and the online matchmaking market. He even shares his thoughts on how realtors have survived in our internet-based, do-it-yourself economy.

Key Takeaways:

[2:15] The rules of a marketplace constitute its design

[5:34] Alvin Roth analyzes the surprising U.S. real estate market

[9:48] Give realtors the 6% they deserve?

[13:33] Matching markets allow you to choose and be chosen

[15:59] The market of donating organs

[18:10] What rules should apply to repugnant transactions

[21:55] The government both interferes and supports all types of contracts

[25:35] Who Gets What – and Why can be used as a field guide to markets

[26:44] How to understand signals of interest

[27:58] The matchmaking market signal experiment

[30:52] Contact information for Alvin Roth

Mentions:

Hartman Media

Who Gets What and Why

Redfin

Living Kidney Donors Network

Match