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Audited reputation

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  • Xu, Hong
  • Chen, Jianqing
  • Whinston, Andrew B.
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    Abstract

    We study reputations with imperfect audit and a reputation market. The main result shows the existence of a separating equilibrium in the reputation market, which contrasts with Tadelis [Tadelis, S., 2002, The market for reputations as an incentive mechanism, Journal of Political Economy 110(4), 854-882].

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    File URL: http://www.sciencedirect.com/science/article/B6V84-4S0JMWP-1/2/5477ccf57924a7368ec64e291341850b
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    Bibliographic Info

    Article provided by Elsevier in its journal Economics Letters.

    Volume (Year): 100 (2008)
    Issue (Month): 3 (September)
    Pages: 359-362

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    Handle: RePEc:eee:ecolet:v:100:y:2008:i:3:p:359-362

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    Web page: http://www.elsevier.com/locate/ecolet

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    1. Mailath, George J & Samuelson, Larry, 2001. "Who Wants a Good Reputation?," Review of Economic Studies, Wiley Blackwell, vol. 68(2), pages 415-41, April.
    2. Steven Tadelis, 2002. "The Market for Reputations as an Incentive Mechanism," Journal of Political Economy, University of Chicago Press, vol. 110(4), pages 854-882, August.
    3. Cho, In-Koo & Kreps, David M, 1987. "Signaling Games and Stable Equilibria," The Quarterly Journal of Economics, MIT Press, vol. 102(2), pages 179-221, May.
    4. Fudenberg, D., 1991. "Maintaining a Reputation when Strategies are Imperfectly Observed," Working papers 589, Massachusetts Institute of Technology (MIT), Department of Economics.
    5. Mailath, George J & Samuelson, Larry, 2001. "Who Wants a Good Reputation? Erratum," Review of Economic Studies, Wiley Blackwell, vol. 68(3), pages 714, July.
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