We investigate the circumstances under which it is possible to discourage free-riding in a peer-to-peer system for resource-sharing by prioritizing resource allocation to peers with higher reputation. We use a model to predict conditions necessary for any reputation scheme to succeed in discouraging free- riding by this method. We show with simulations that for representative cases a very simple autonomous reputation scheme, the Network of Favors, works nearly as well at discouraging free-riding as an ideal reputation scheme. Finally, we investigate the expected dynamic behavior of the system when a reputation scheme is used. Notes: Nazareno Andrade, Walfredo Cirne and Francisco Brasileiro, Universidade Federal de Campina Grande, Brazil 8 Pages