Asymmetric Information and the Development of E-commerce
XU Yong-bing · Zhongguo liutong jingji · 2004
According to the theory of George A Akerlof, winner of Nobel Prize in economics in 2001,credit risks will increase,resulting in shrinking or eliminating markets that bear great potentials when bargainers' information in terms of two parties is in asymmetry.The mutual invisibility of the two parties in E-commerce transactions tends to aggravate the asymmetry of information in some ways.In the case that the current credit in China is generally at a low level,such an asymmetry has become the biggest obstruction to the development of E-commerce in the nation.In order to develop E-commerce in China, we must not only continue to strengthen the infrastructual construction,but built up successfully a social credit system to enhance the level of credit.