Journal
JOURNAL OF INDUSTRIAL ECONOMICS
Volume 68, Issue 1, Pages 52-92Publisher
WILEY
DOI: 10.1111/joie.12214
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In June, 2013, Louisville, Kentucky, announced plans to provide restaurant health inspection scores-already available on the city's website-for publication on Yelp.com. I find that this increased salience caused substantial hygiene improvements among independent Louisville restaurants across three different counterfactual models. Among independent Louisville restaurants, estimates suggest the partnership caused anywhere from a 9-14% relative decrease in inspection score point deductions, with the effect being entirely evident in restaurants' first inspections following the partnership's announcement. Relative to the rest of Kentucky, I find that the partnership significantly reduced rates of severe food poisoning in Louisville.
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