Who Initiates Recalls and Who Cares? Evidence from the Automobile Industry

A-Tier
Journal: Journal of Industrial Economics
Year: 2002
Volume: 50
Issue: 2
Pages: 123-149

Authors (2)

Nicholas G. Rupp (East Carolina University) Curtis R. Taylor (not in RePEc)

Score contribution per author:

2.011 = (α=2.01 / 2 authors) × 2.0x A-tier

α: calibrated so average coauthorship-adjusted count equals average raw count

Abstract

In this paper, we investigate two questions. First, we explore which entity (the NHTSA or the manufacturer) is more likely to initiate a given auto safety recall campaign. Second, we analyze the determinants of owner response rates to safety recalls. Our data spans nineteen years (1980–1998) for the six largest auto manufacturers. We find evidence that the government initiates larger, less hazardous recalls involving older models and financially weak firms. Inexpensive recalls are more likely to be manufacturer initiated. The largest owner repair responses are associated with newsworthy hazardous defects of new domestic vehicles in their inaugural model year.

Technical Details

RePEc Handle
repec:bla:jindec:v:50:y:2002:i:2:p:123-149
Journal Field
Industrial Organization
Author Count
2
Added to Database
2026-01-29