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of privately known competence, who cares about his reputation, chooses the timing of the forecast regarding the outcome …. Further, any report hurts the forecaster’s reputation in the short run, with later reports incurring larger penalties. The … reputation of a silent forecaster, on the other hand, gradually improves over time. …
Persistent link: https://www.econbiz.de/10012123351
reputation for quality, and a principal (e.g. a regulator) can learn the agent's quality via costly inspections. Monitoring plays … two roles: an incentive role, because outcomes of inspections affect agent's reputation, and an informational role because …
Persistent link: https://www.econbiz.de/10011865082
We examine the impact of reputational concerns on seeking advice. While seeking can improve performance, it may affect how others perceive the seeker's competence. In an online experiment with white-collar professionals (N=2,521), we test how individuals navigate this tradeoff and if others'...
Persistent link: https://www.econbiz.de/10014495025
Is the reputation of a firm tradeable when the previous owner has to retire even though ownership change is observable … good type. Hence reputation is tradeable, although ownership change is observable. In our model, reputation is an …
Persistent link: https://www.econbiz.de/10011449475
announcements is called a rating system. We show that, absent reputation effects, information censoring cannot improve attainable …, Mailath and Samuelson (2004), where it is shown that reputation effects do not last forever in such games if buyers can … the seller's payoff. -- Reputations ; Rating Systems ; Online Reputation Mechanisms ; Disappearing Reputations ; Permanent …
Persistent link: https://www.econbiz.de/10008665736
Consider a two-product firm that decides on the quality of each product. Product quality is unknown to consumers. If the firm sells both products under the same brand name, consumers adjust their beliefs about quality subject to the performance of both products. We show that if the probability...
Persistent link: https://www.econbiz.de/10010365881
This paper studies the reliability of financial reporting when the credibility of the manager, represented by his misreporting propensity, is unknown. We show that credibility concerns affect the time-series of reported earnings, book values, and stock prices in ways that seem consistent with...
Persistent link: https://www.econbiz.de/10011646596
We consider an infinitely repeated game in which a privately informed, long-lived manager raises funds from short-lived investors in order to finance a project. The manager can signal project quality to investors by making a (possibly costly) forward-looking disclosure about her project's...
Persistent link: https://www.econbiz.de/10011504350
We consider an infinitely repeated game in which a privately informed, long-lived manager raises funds from short-lived investors in order to finance a project. The manager can signal project quality to investors by making a (possibly costly) forward-looking disclosure about her project's...
Persistent link: https://www.econbiz.de/10011506852
I show how changes in competition affect the power of reputation to induce sellers to exert effort. The impact of …. To guide the empirical analysis, I develop a model of reputation where the relative number of hosts and guests affects … the value of building a reputation through effort. In this framework, more competition depresses hosts' profits and leads …
Persistent link: https://www.econbiz.de/10012138911