Economic Theory and Experimental Seminar - Utku Unver (Boston College)

ETES Series

Room 605, Level 6, 111 Barry Street, Carlton

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Alex Nichifor

nichifor@unimelb.edu.au

T: +61 3 8344 7420

Title: Incentivized Kidney Exchange, (joint with Tayfun Sönmez and M. Bumin Yenmez)

Abstract: Over the last 15 years, kidney exchange has become a mainstream paradigm to increase transplants. However, compatible pairs do not participate, and the full benefits from exchange can be realized only if they do. We propose incentivizing compatible pairs to participate in exchange by insuring their patients against future renal failure via increased priority in the deceased-donor queue. We analyze the benefits of this scheme to patient population through a new dynamic continuum model. We calibrate the model with US data and quantify substantial gains from adopting incentivized exchange, both in terms of access to living-donor transplants and reduced competition for deceased-donor transplants.