How do judgment devices influence price formation? We investigate this question through a study of the German wine … market. The German wine market is characterized by the simultaneous existence of two classification systems: the official … wineries in the German wine-growing regions of Rheingau and Rheinhessen. Our results show that the two classification systems …

is received, affects how the good is experienced. The good in question was wine, and the price was either high or low …. Our results suggest that hosts offering wine to guests can safely reveal the price: much is gained if the wine is … expensive, and little is lost if it is cheap. Disclosing the high price before tasting the wine produces considerably higher …