LAN-YI LIU 劉藍一
POLITICAL ECONOMY | GAME THEORY | MICROECONOMIC THEORY
POLITICAL ECONOMY | GAME THEORY | MICROECONOMIC THEORY
I am a Postdoctoral Research Fellow and Lecturer in the Department of Economics at National Taiwan University. I hold a Ph.D. in Economics from National Taiwan University, an M.A. in Mathematics, and a B.A. in Political Science. I am also a former patent engineer & trademark agent. My research interests lie in political economy and game theory, with a particular focus on fair division, the theory of dictatorship, and intellectual property rights. My work includes studies on allocation rules and axiomatic properties in fair queueing problems, non-cooperative games, and the strategic behavior of dictators.
In 2024, I was awarded a Postdoctoral Research Abroad Fellowship from the Ministry of Science and Technology. During my doctoral studies, I served as a teaching assistant for courses in microeconomic theory, game theory, and principles of economics, and was honored with the Excellent Teaching Assistant Award for three consecutive years (2016–2018).
On this site, you can find my working papers. I hope you find them useful. All comments are welcome!
Lan-Yi Liu
Email: lanyiliu73 "AT" gmail.com; lanyiliu "AT" ntu.edu.tw
Address: Rm818, Department of Economics, No. 1, Sec. 4, Roosevelt Road, Taipei, 10617 Taiwan(R.O.C)
Axiomatic and strategic foundations for the pairwise equal splitting rule in sequencing problems with an initial queue. forthcoming 2025. Social Choice and Welfare. (with Min-Hung Tsay and Chun-Hsien Yeh).
Abstract
We consider the sequencing problem with an initial queue from both axiomatic and strategic perspectives. First, we show that two fairness properties, namely independence of irrelevant adjacent positions swap and balanced impact of adjacent positions swap, along with the basic properties of efficiency, budget balance, individual rationality and Pareto indifference, characterize the pairwise equal splitting rule (Curiel et al. 1989). Next, we establish a strategic justification for the rule by introducing a position-negotiation game. This game is a finite-round game, with each round consisting of a sequence of bilateral bargaining sessions. We show that there is a unique subgame perfect Nash equilibrium outcome in the game; moreover, it is the agents’ net utility profile under the rule.
Production, Conflict, and Dictator's Optimal Favoritism. June 2024, with Tsung-Sheng Tsai. Manuscripts.
Abstract
We consider a two-stage multi-prize contest in which players choose a productive-wasteful effort allocation in Stage 2; in Stage 1, a ruler chooses a weight to enlarge the players' winning probability of investing unproductive effort. We find that the productive effort investment level is almost zero whenever the number of prizes is small. When the number of prizes is high, the ruler has a stronger incentive to encourage the players to invest in wasteful efforts. The ruler also encourages the players to invest in wasteful efforts as the player group size increases. Unfortunately, we find that in most situations the ruler encourages the contestants to invest in wasteful efforts, which explains the tinpot-like autocrats' bribery behavior and company managers' favoritism.
The Walrasian rule in Fair Queueing Problems with an Initial Order. May 2024. Manuscripts.
Abstract
I define an allocation rule in which the outcome coincides with the Walrasian equilibrium and show that the rule is characterized by the envy-free axiom in the context of fair queuing problems with initial order.
Congestion and Information Quality in Chinese Restaurant Games with Priority Rules. 2022 with Fang-Li Kung and Chih-Yu Wang. Manuscripts.
Abstract
We explore the trade-off between congestion and signal quality in a Chinese restaurant queuing situation. Players are heterogeneous on the information of the true distribution; players choose entry immediately or wait and see how information goes. Too many players choosing to delay decisions will cause congestion. Ideally, we expect players holding critical information to reveal it to the public to improve social efficiency. We show that players with high-quality signals have no incentive to disclose their information to players with low-quality signals, and the efficient queuing outcome is not achieved.
Cram Contests: The Impact of Multiple College Entrance Slots on Students’ Effort Levels, 2020.11.20, Microeconomic Conference, Research Center for Humanities and Social Science, Academia Sinica. Previous version: Multi-Armed Credential Contest: Evidence from College Entrance Exams in Taiwan 1983-2015. 2018. Manuscripts.
Abstract
Does the college multiple entrance programs (MEP) make students waste more resources to prepare for the exam? This paper proposes a cram contest model to analyze the impact of MEP on students’ effort levels. Students compete for one of the college admissions by paying for resources. It allows for several contest slots and differing conflict technology among students. I show that the resource allocation diverges whenever the number of entrance slots increases. The paper uses the 1996-2014 Survey of Family Income and Expenditure and the Expenditure Situation on Education data, and I find that the student’s effort level was affected by the implementation of MEP after 2002. Results show that the cram school expenditures decrease significantly after the implementation of MEP, and the reduction exceeds the positive impacts of household income and household head’s education level, which supports the model prediction.
Epistemic Group Identification. 2018. Handouts. Manuscripts.
Abstract
This paper studies group identification with the epistemic point of view. Group identification describes the solutions to classify individuals into different groups and the evolving process of a collective action rule of the members in a social group. That is, the resulting group identity is a common action rule with respect to their rival group. Under the assumption of interaction costs and results of getting to common knowledge, we construct a process of group identification. Our results show that under a finite state space, group identification can be implemented among in-group members via finite information revision steps if the two conditions hold: (1) the members communicate with each other for increasing their knowledge, and (2) there is a nonzero cost generating by the interaction between ingroup members and outsiders. Furthermore, we show that on a probability space, generalized group identification is equivalent to a discrete-time martingale process, which permits that group identification can be reached under the infinite state space.
Weak Patent, Litigation, and Optimal Licensing. 2025, with Tsung-Sheng Tsai.
Issues on Common Ownership and RD Competition. 2024, with Min-Hung Tsay.
College Assignments with Strategic Manipulations. 2020.