Similar Search Results

Rose, Julia; Kirchler, Michael; Palan, Stefan - 2019

Status and reputation concerns are conjectured to be important especially in markets with information asymmetries between buyers and sellers, such as in credence goods markets. To investigate the effects of status and reputation on reciprocal behavior of sales personnel in a financial credence...

Persistent link: https://www.econbiz.de/10012609008

Credence goods in the literature: What the past fifteen years have taught us about fraud, incentives, and the role of institutions

Balafoutas, Loukas; Kerschbamer, Rudolf - 2020

the market structure and institutional environment (separation of diagnosis and treatment, liability, verifiability …, reputational concerns, competition between experts and second opinions). We also describe recent developments in this area of …

Persistent link: https://www.econbiz.de/10012609010

Reveal it or conceal it: On the value of second opinions in a low-entry-barriers credence goods market

Bindra, Parampreet Christopher; Kerschbamer, Rudolf; … - 2020

Credence goods markets with their asymmetric information between buyers and sellers are prone to large inefficiencies. In theory, poorly informed consumers can protect themselves from maltreatment through sellers by asking for second opinions from other sellers. Yet, empirical evidence whether...

Persistent link: https://www.econbiz.de/10012609018

The effect of priming on fraud: Evidence from a natural field experiment

Bindra, Parampreet Christopher; Pearce, Graeme - 2020

We present a natural field experiment designed to examine the extent to which priming can influence the behaviour of sellers in a real world market for credence goods. We employed 40 testers to take 600 taxi journeys in and around Vienna, Austria. Using a between-subject design we vary the...

Persistent link: https://www.econbiz.de/10012609022

Searching for Treatment

Obradovits, Martin; Plaickner, hilipp - 2020

When experts have superior information on their customers' needs and appropriate treatment/repair/advice is a credence … good, there are obvious incentives for opportunistic behavior. What compounds this is that experts regularly make treatment …

Persistent link: https://www.econbiz.de/10012609027

Customer Disputes, Misconduct, and Reputation Building in the Market for Financial Advice

Ulrichshofer, Anna; Walzl, Markus - 2020

We analyze the impact of records of denied and withdrawn customer complaints on job separation in a dataset based on FINRA's Broker-Check database with more than 3 mio. financial advisers. Compared to misconduct that actually leads to a conviction of the adviser, denied and withdrawn complaints...

Persistent link: https://www.econbiz.de/10012609029

Diagnostic Uncertainty and Insurance Coverage in Credence Goods Markets

Balafoutas, Loukas; Fornwagner, Helena; Kerschbamer, Rudolf - 2020

also uncover an important interaction effect: if consumers are insured, experts invest less in diagnostic precision. We …

Persistent link: https://www.econbiz.de/10012609030

Monitoring institutions in health care markets: Experimental evidence

Angerer, Silvia; Glätzle-Rützler, Daniela; Waibel, … - 2020

This paper investigates the impact of monitoring institutions on market outcomes in health care. Health care markets are characterized by asymmetric information. Physicians have an information advantage over patients with respect to the appropriate treatment for the patient and may exploit this...

Persistent link: https://www.econbiz.de/10012609041

Seller opportunism in credence good markets: The role of market conditions

Momsen, Katharina; Ohndorf, Markus - 2022

We report the results of an experiment to systematically investigate the influence of different settings in credence good markets on opportunism in the sellers' decisions. We find that, as predicted by a cognitive dissonance model, the specific choice of the design features might be less...

Persistent link: https://www.econbiz.de/10014319992

Diagnostic uncertainty and insurance coverage in credence goods markets

Balafoutas, Loukas; Fornwagner, Helena; Kerschbamer, Rudolf - 2023

In markets for credence goods - such as health care or repair services - fraudulent behavior by better informed experts … is a common problem. Our model studies how four common features shape experts' provision behavior in credence goods … markets: (i) diagnostic uncertainty of experts; (ii) insurance coverage of consumers; (iii) malpractice payments for treatment …

Persistent link: https://www.econbiz.de/10014476274