Nash implementation in private good economies with single-plateaued preferences and in matching problems

Abstract

In this paper we explore the problem of Nash implementation providing two new properties called I-monotonicity and I-weak no-veto power. These properties form together with unanimity a new sufficient condition for a social choice correspondence to be implementable in Nash equilibria with at least three agents. As applications, we prove that: (1) In private good economies with single-plateaued preferences, each solution of the problem of fair division that has a full range is Nash implementable if and only if it satisfies Maskin monotonicity, (2) In matching problems, Maskin monotonicity is a necessary and sufficient condition for implementation.