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- W188006835 abstract "This paper examines the effectiveness of cheap talk advice in recurrent relationships between a customer, and multiple experts who provide professional services with differentiated specialties (e.g, auto mechanics, physicians). Specifically, the sustainable honesty level is characterized in relation to the degree of rivalry among the experts. The three main findings are: 1) Fully honest advice may not be sustained if the profitability of service provision varies widely across problems. 2) As the number of experts increases due to a higher degree of specialization, the maximum equilibrium honesty level deteriorates. 3) Nonetheless, the equilibria that pass a certain credibility check on their punishment phases, implement the same (unique) honesty level regardless of the number of experts. Furthermore, the customer can extract this honesty level by appointing a panel of only one or two (but no more) experts and trusting them all the time." @default.
- W188006835 created "2016-06-24" @default.
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- W188006835 date "2000-01-01" @default.
- W188006835 modified "2023-09-24" @default.
- W188006835 title "Cheap Talk Reputation and Coordination of Differentiated Experts" @default.
- W188006835 hasPublicationYear "2000" @default.
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