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I grant that bias does exist. As long as reviewers are human that will be the case, but if an author has a conflict of interest isn't it more likely that said bias would lead to them writing negative rather than positive reviews? I mean especially with the way the economy is going now days people have less $ to spend on wants as opposed to needs and if two authors are vying for the same dollar (or what ever price is on the book) from the customer wouldn't it make more sense for them to write negative reviews of each others work rather than positive ones? Not that I have anyone in mind, just that that sounds more the human response.
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