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Lacking a separating equilibrium, low-quality firms in these markets may be able to mimic the advertising strategies of high-quality firms. This study examines this issue in the context of online sponsored search markets. Using data gathered from sponsored search auctions for keywords in a market without intervention by the intermediary, we find evidence of adverse selection for products\/services characterized by high uncertainty. On the other hand, there is no evidence of adverse selection for similar products in a regulated sponsored search market, suggesting that intervention by the search intermediary can have a significant impact on market outcomes and consumer welfare. <\/jats:p>","DOI":"10.1287\/isre.1080.0222","type":"journal-article","created":{"date-parts":[[2009,6,13]],"date-time":"2009-06-13T01:10:16Z","timestamp":1244855416000},"page":"190-201","source":"Crossref","is-referenced-by-count":83,"title":["Research Note<\/b>\u2014Quality Uncertainty and the Performance of Online Sponsored Search Markets: An Empirical Investigation"],"prefix":"10.1287","volume":"21","author":[{"given":"Animesh","family":"Animesh","sequence":"first","affiliation":[{"name":"Desautels Faculty of Management, McGill University, Montreal, Quebec H3A 1G5, Canada"}]},{"given":"Vandana","family":"Ramachandran","sequence":"additional","affiliation":[{"name":"David Eccles School of Business, University of Utah, Salt Lake City, Utah 84112"}]},{"given":"Siva","family":"Viswanathan","sequence":"additional","affiliation":[{"name":"Decision, Operations, and Information Technologies, Robert H. 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