costs to hide or to uncover taxable transactions, by imposing risk on risk-averse tax evaders and by distorting competition …

. In theory, poorly informed consumers can protect themselves from maltreatment through sellers by asking for second … field experiment in the market for computer repairs. We find that revealing a second opinion from another expert to the …

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 … broken, and guilt is exacerbated by higher interaction prices. An experiment qualitatively confirms our predictions: (1) most …

framework. We test the model's predictions in a laboratory experiment. Both in theory and in the experiment diagnostic … uncertainty decreases the rate of efficient service provision and leads to less trade. In theory, insurance also decreases the … net effect on welfare. In the experiment, the net effect of insurance coverage on efficiency turns out to be positive. We …

as the main cause and design a parsimonious experiment with exogenous prices that allows classifying experts as either … customers. While standard theory predicts that inefficiencies disappear if customers can verify the quality received … ; experiment …

prices. -- credence goods ; experts ; pricing ; experiment ; other regarding preferences ; signalling ; projection bias …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 …

In addition to discrimination, market power, and human capital, gender differences in risk preferences might also … in any given period. Subjects were informed of the exogenous risk premium being offered for the risky job. Women were … gap in the experiments. That women were more risk averse than men was also manifest in the Pratt-Arrow Constant Absolute …

stronger distaste for low relative wealth translates into reduced relative risk aversion and, consequently, into riskier … prone to divorce exhibit risk-taking behavior that is more similar to that of single men than married men in environments …

outcomes, thus ignoring possible repercussions. We present a field experiment in which we consider a phenomenon that we call …

trustworthy sellers into markets with such mechanisms or because of reputational concerns of sellers. In our field experiment, we …