Theory of stable allocations

Abstract

The Swedish Royal Academy awarded the 2012 Nobel Prize in Economics to Lloyd Shapley and Alvin Roth, for the theory of stable allocations and the practice of market design. These two American researchers worked independently from each other, combining basic theory and empirical investigations. Through their experiments and practical design they generated a flourishing field of research and improved the performance of many markets. Born in 1923 in Cambridge, Massachusetts, Shapley defended his doctoral thesis at Princeton University in 1953. For many years he worked at RAND, and for more than thirty years he was a professor at UCLA University. He published numerous scientific papers, either by himself or in cooperation with other economists.

Keywords

• Swedish Royal Academy
• 2012
• Nobel Prize in Economics
• Lloyd Shapley
• Alvin Roth
• theory of stable allocations
• research
• practical design
• game theory
• UCLA
• Princeton University
• RAND