Amsterdam's popular secondary schools were chronically oversubscribed, and the old lottery-based system gave students little reason to state their true favorite: if you listed the popular school first and lost the draw, you might get nothing, so roughly 8% of students applied to a school that was not their most preferred, research by De Haan, Gautier, Oosterbeek and Van der Klaauw found.

In 2015 the city's schools, organized under OSVO, switched to a centralized matching system using deferred acceptance with a separate lottery per school. Students submit five ranked preferences and the algorithm assigns and re-assigns seats so no student can be displaced by a lower-priority applicant; the design came from the economists' own simulation study.

The first year was turbulent — about a hundred students were placed outside their top five, and parents sued to swap seats, but the court upheld the no-swap rule because allowing swaps would invite strategic gaming. The economists' evaluation found the mechanism worked: deferred acceptance placed more students in their top choices than the old system and raised average welfare, with the largest gains for disadvantaged families.

A strategy-proof match makes honest preferences safe

Deferred acceptance is strategy-proof, so students can always rank their real favorite first.

Separate lotteries per school keep children near oversubscribed schools from losing everywhere at once.

Banning after-the-fact swaps preserved the anti-gaming property of the mechanism.

Empirical evaluation showed welfare gains, concentrated among disadvantaged students.

If an allocation rule punishes honesty, people will lie and the sophisticated will win; make truth-telling a dominant strategy and the system stops rewarding gaming.

The system was refined after 2015, and Amsterdam became Europe's most studied school-choice experiment; the evaluation was published in the Journal of Political Economy in 2023.

FOLLOW THE EVIDENCE

The sources

  1. The Performance of School Assignment Mechanisms in Practice iza.org
  2. Amsterdamse ouders mogen school niet ruilen nos.nl
  3. Mismatch van leerlingen in Amsterdam esb.nu