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Do Expert Reviews Affect the Demand for Wine?
Stockholm School of Economics, Department of Economics.
Uppsala University, Disciplinary Domain of Humanities and Social Sciences, Faculty of Social Sciences, Department of Economics.
2012 (English)In: American Economic Journal: Applied Economics, ISSN 1945-7782, Vol. 4, no 1, 193-211 p.Article in journal (Refereed) Published
Abstract [en]

We examine the demand for wines in Sweden using five years ofweekly data on sales, advertising, and expert reviews. The effect of afavorable review peaks in the week after publication with an increasein demand of 6 percent, and the effect remains significant for morethan 20 weeks. We find small demand-enhancing effects of neutralreviews and no evidence of important negative effects from unfavorablereviews. Restrictions on the state-owned monopoly retailer andthe exogenous timing of a subset of the reviews support a causalinterpretation of the effects of reviews on demand.

Place, publisher, year, edition, pages
2012. Vol. 4, no 1, 193-211 p.
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URN: urn:nbn:se:uu:diva-188142DOI: 10.1257/app.4.1.193OAI: oai:DiVA.org:uu-188142DiVA: diva2:576363
Available from: 2012-12-13 Created: 2012-12-12 Last updated: 2012-12-13Bibliographically approved

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