Miklós-Thal, Jeanine; Schumacher, Heiner - In: Games and Economic Behavior 79 (2013) C, pp. 132-147
Many markets without repeated seller–buyer relations feature third-party “monitors” that sell recommendations. We analyze the profit-maximizing recommendation policies of such monitors. In an infinitely repeated game with seller moral hazard and short-lived consumers, a monopolistic...