Shrouded Attributes and Information Suppression: Evidence from the Field

Jennifer Brown, Tanjim Hossain and John Morgan

The Quarterly Journal of Economics, 2010, vol. 125, issue 2, 859-876

Abstract: We use field and natural experiments in online auctions to study the revenue effect of varying the level and disclosure of shipping charges. Our main findings are (1) disclosure affects revenues—for low shipping charges, a seller is better off disclosing; and (2) increasing shipping charges boosts revenues when these charges are hidden. These results are not explained by changes in the number of bidders.

Date: 2010
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