Gwin, Carl R.; Maxam, Clark L. - In: Journal of Property Investment & Finance 20 (2002) 3, pp. 242-253
Are real estate appraisals based on fundamentals that determine the value of the real estate or on offer price? Does this question really matter? In a game of moral hazard with hidden information, we examine an appraiser’s incentives in conducting an appraisal. We find that a moral hazard...