eBay provides a large amount of data -enough data to investigate how markets address the problem of asymmetric information. This study analyzes 183 auctions of Apple iPod Touches on eBay.com to find the impact of a seller's rating on price. I found that a seller's percent of negative rating significantly impacts the price they ultimately receive.
NBER working papers are circulated for discussion and comment purposes. They have not been peer-reviewed or been subject to the review by the NBER Board of Directors that accompanies official NBER publications.
NBER working papers are circulated for discussion and comment purposes. They have not been peer-reviewed or been subject to the review by the NBER Board of Directors that accompanies official NBER publications.
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