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Alberto L. Morán, Ziv Epstein,

WASHINGTON-Fraudulent online reviews, which deceive consumers and damage companies' reputations, are a significant problem. While the public and private sector have taken some steps to address the proliferation of fake reviews, a new report from the Center for Data Innovation concludes that state and federal governments should strengthen their enforcement actions, partner with the private sector to develop best practices, and pass legislation to protect consumers from lawsuits when they leave honest reviews. Previous research has found that the negative impact of fake reviews has grown over the years, likely influencing billions of dollars in consumer spending. The Center's new report breaks down the types of fake reviews that proliferate as well as other sources of misrepresentation that impact the online marketplace, including the suppression of negative reviews, lawsuits over negative reviews, the harassment of customers, and payments to silence critics.