Trust is vital for market development, but how can trust be enhanced in a marketplace? A common view is that more trusting may help to build trust, especially in less developed economies. In this paper, we argue that more trusting may lead to less trust. We set up a rational expectation model in...

This paper uses an audit sample and a consumer survey to study the intriguing market of online prescription drugs facing US customers, and assesses the role that certification agencies play in online drug markets. On the supply side, we acquire samples of five popular brand-name prescription...

Before reaping transaction cost savings from the Internet, online sellers must credibly communicate the quality of their goods or their reliability of delivery. We use baseball cards as an example to address (1) whether consumers fully understand the risk of online trading, (2) the extent to...

Despite heated debate about the pros and cons of online physician ratings, very little systematic work examines the correlation between physicians’ online ratings and their actual medical performance. Using patients' ratings of physicians at the RateMDs website and the Florida Hospital...