Abstract
The Internet has greatly influenced the classic analyzing background of Akerlof's lemon problems, as dealers tend to have more severe speculative intentions than that in traditional economy, which consequently may lead to the deteriorating lemon problems. The paper has done in the following aspects: stated the worsening possibilities of lemon problems in the Internet environment; specified the operating mechanism of dual-rating reputation system and figured out the shortcomings; comparatively analyzed the efficiency of dual quality factor involved reputation system through discussing the problems of reputation system with buyer quality factor related only; and finally proposed a dual quality factors based reputation mechanism solution for online lemon problems.
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