This paper investigates the impact of four key economic variables on an expert firm's incentive to defraud its … customers in a credence goods market: the level of competition, the expert firm's financial situation, its competence, and its …

to defraud his customers when the expert can build up reputation. We show that the level of fraud is significantly higher … customers. As experts provide both diagnosis and treatment, this leaves scope for fraud. We experimentally investigate how … intensity of price competition and the level of customer information about past expert behavior influence an expert’s incentive …

-42, 2006). We consider various markets for credence goods and briefly discuss evidence on the extent of fraud. We then review …

measure different types of fraud and to examine the influence of passengers' presumed information and income on the extent of … fraud. Results reveal that taxi drivers cheat passengers in systematic ways: Passengers with inferior information about …. Higher income seems to lead to more fraud. …

measure different types of fraud and to examine the influence of passengers' presumed information and income on the extent of … fraud. Results reveal that taxi drivers cheat passengers in systematic ways: Passengers with inferior information about …. Higher income seems to lead to more fraud. …

theoretically to be effective in mitigating fraudulent expert behavior. We analyze whether this positive result carries over to a …

theoretically to be effective in mitigating fraudulent expert behavior. We analyze whether this positive result carries over to when …

bad. In a market setting with multiple consumers per expert, a cross-consumer externality arises: one consumer's payment … raises the expert's income, which makes the non-selfish part of preferences more important and thereby induces the expert to … provides a novel rationale for the wide-spread use of price regulation and licensing in real-world markets for expert services. …