market platforms such as eBay) interact to promote trustworthinessand trust. Our analysis suggests that the costs involved in … crowds out trust and trustworthiness. …

Trust that suppliers and buyers will keep their word is a necessary ingredient to a wellfunctioning marketplace …, putting them out of the reach ofthe legal safeguards and the long-term relationships that build trust in the brick …

Whether incentive contracts perform better than trust in terms of productiveefficiency is usually explored by principal …, we find that (mutual) trust is as good as incentivecontracts in inducing costly actions by employees. Moreover, we …