MARKETPLACES AND MATCHING

This paper models trading patterns when marketplaces exist and goods a re differentiated. When first visiting the market, a buyer samples a s tock of goods. If fortunate, the buyer finds a match, purchases one of these goods and then exits. If not, the buyer can now only match with the now of new goods. In a steady state, the stock of unmatched trade rs on one side of the market is trying to match with the now of new tr aders on the other side. This behaviour is shown to describe matching patterns between unemployed job seekers and vacancies in U.K. Job Cent res.