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Project Citation: 

Jin, Ginger Zhe, and Leslie, Phillip. Replication data for: Reputational Incentives for Restaurant Hygiene. Nashville, TN: American Economic Association [publisher], 2009. Ann Arbor, MI: Inter-university Consortium for Political and Social Research [distributor], 2019-10-12. https://doi.org/10.3886/E114314V1

Project Description

Summary:  View help for Summary How can consumers be assured that firms will endeavor to provide good quality when quality is unobservable prior to purchase? We test the hypothesis that reputational incentives are effective at causing restaurants to maintain good hygiene quality. We find that chain affiliation provides reputational incentives and franchised units tend to free-ride on chain reputation. We also show that regional variation in the degree of repeat customers affects the strength of reputational incentives for good hygiene at both chain and nonchain restaurants. Despite these incentives, a policy intervention in the form of posted hygiene grade cards causes significant improvements in restaurant hygiene. (JEL I18, I19, L14, L83).

Scope of Project

JEL Classification:  View help for JEL Classification
      I18 Health: Government Policy; Regulation; Public Health
      I19 Health: Other
      L14 Transactional Relationships; Contracts and Reputation; Networks
      L83 Sports; Gambling; Restaurants; Recreation; Tourism


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