TY  - RPRT
        AU  - Bindra, Parampreet Christopher
AU  - Kerschbamer, Rudolf
AU  - Neururer, Daniel
AU  - Sutter, Matthias
        TI  - Reveal It or Conceal It: On the Value of Second Opinions in a Low-Entry-Barriers Credence Goods Market
        PY  - 2020/Jun/
        PB  - Institute of Labor Economics (IZA)
        CY  - Bonn
        T2  - IZA Discussion Paper
        IS  - 13344
        UR  - https://www.iza.org/index.php/publications/dp13344
        AB  - Credence goods markets with their asymmetric information between buyers and sellers are prone to large inefficiencies. In theory, poorly informed consumers can protect themselves from maltreatment through sellers by asking for second opinions from other sellers. Yet, empirical evidence whether this is a successful strategy is scarce. Here we present a natural field experiment in the market for computer repairs. We find that revealing a second opinion from another expert to the seller does neither increase the rate of successful repairs nor decrease the average repair price. We assess under which conditions gathering a second opinion can be valuable.
        KW  - expert services
KW  - second opinions
KW  - natural field experiment
KW  - credence goods
        ER  -