|
|
|
|
||||
|
||||
The Effect of Information Disclosure on Product Demand: Evidence from Yahoo! Auctions TaiwanChing-I HuangNational Taiwan University - Department of Economics Min-Jie SuNational Taiwan University - Department of Economics January 19, 2011 Abstract: We study the effect of information disclosure in resolving adverse selection by estimating the demand for a specific type of T-shirt sold on the Yahoo! Auctions platform. To reduce information asymmetry in Internet transactions, sellers usually voluntarily disclose product information by providing photos on the website. The disclosed information in this market can be naturally separated into high and low quality levels. Providing high-quality information which accurately reflects product characteristics not only increases consumer demand, but also has a positive marginal effect for adding more high-quality information. On the contrary, increasing the amount of low-quality information has almost no effect on demand.
Number of Pages in PDF File: 21 Keywords: Information quality, asymmetric information, demand estimation, information disclosure JEL Classification: C21, L15, L81 working papers seriesDate posted: November 7, 2009 ; Last revised: January 27, 2011Suggested Citation |
|
||||||||||||
© 2013 Social Science Electronic Publishing, Inc. All Rights Reserved.
FAQ
Terms of Use
Privacy Policy
Copyright
This page was processed by apollo6 in 0.750 seconds
