On the problem of finding a suitable distribution of students to universities in Germany

For many years, the problem of how to distribute students to the various universities in Germany according to the preferences of the students has remained unsolved. Various approaches, like the centralized method to let a central agency organize the distribution to the various universities or the decentralized method to let the students apply directly at their preferred universities, turned out to lead to a significant fraction of frustrated students ending up at universities not being on their preference list or even not having a place to study at all. With our centralized approach, we are able to decrease the fraction of frustrated students as well as the bureaucratic expenses for applicants and universities drastically.