Viscusi (1978) shows how, in markets with quality uncertainty, perfect certification results in separation from top … down due to an unraveling process similar to Akerlof (1970). De and Nabar (1991) argue that imperfect certification …' buying decision explicitly, a separating equilibrium with imperfect certification does exist. …

strong implications for the industrial organization of certification markets: 1) Honest certification requires high prices … that may even exceed the static monopoly price. 2) Honest certification exhibits economies of scale and constitutes a …

This paper studies the interaction of information disclosure and reputational concerns in certification markets. We …