to a consumer first, whereupon the consumer can express her trust by paying an interaction price before the expert’s … provision and charging decisions. We argue that the expert’s promise induces a commitment that triggers guilt if the promise is … experts make the predicted promise; (2) proper promises induce consumer-friendly behavior; and (3) higher interaction prices …

Evidence on behavior of experts in credence goods markets raises an important causality issue: Do "fair prices" induce … "good behavior", or do "good experts" post "fair prices"? To answer this question we propose and test a model with three … selection and fixed effects regressions support the model's predictions and show that causality goes from good experts to fair …

Reputation systems aim to induce honest behavior in online trade by providing information about past conduct of users …. Online reputation, however, is not directly connected to a person, but only to the virtual identity of that person. Users can … therefore shed a negative reputation by creating a new account. We study the effects of such identity changes on the efficiency …

explanations, we find that altruism and reputational concerns are positively associated with the decision to volunteer. Moreover …

price rigidity. Reputation powerfully amplifies the positive effects of social preferences on contract enforcement by … interactions, suggesting that it may aggravate price rigidities. Surprisingly, reputation in fact weakens the wage and price …

this task. We show, that those announced beliefs lead to a self fulfilling prophecy as the reputation of the responsible …

efficiency, we find that liability has a crucial, but verifiability only a minor effect. Allowing sellers to build up reputation …