Optimal product variety in radio markets.
A vast theoretical literature explores inefficient market structures in free-entry equilibria, and previous empirical work demonstrated that excessive entry may obtain in local radio markets. We extend that literature by relaxing the assumption that stations are symmetric, allowing for endogenous ho...
| Publicado en: | RAND Journal of Economics (Wiley-Blackwell) Vol. 47; no. 3; pp. 463 - 498 |
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| Autores principales: | , , |
| Formato: | Artículo |
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Wiley-Blackwell
Fall2016
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| Materias: | |
| Acceso en línea: | Ver este registro en EBSCOhost |
| fields | @attributes: recordID: 1 pdfLink: plink: https://search.ebscohost.com/login.aspx?direct=true&db=ssf&AN=117016897&site=ehost-live header: @attributes: shortDbName: ssf uiTerm: 117016897 longDbName: Social Sciences Full Text (H.W. Wilson) uiTag: AN controlInfo: bkinfo: jinfo: jid: 07416261 56RJ jtl: RAND Journal of Economics (Wiley-Blackwell) issn: 07416261 maglogo: Y pubinfo: dt: Fall2016 vid: 47 iid: 3 pid: 480 pub: Wiley-Blackwell artinfo: ui: 117016897 10.1111/1756-2171.12134 ppf: 463 ppct: 35 formats: fmt: – @attributes: type: T – @attributes: type: P size: 294KB tig: atl: Optimal product variety in radio markets. aug: au: Berry, Steven Eizenberg, Alon Waldfogel, Joel affil: Yale University and NBER Hebrew University of Jerusalem and CEPR University of Minnesota and NBER su: Broadcasting industry Empirical research Market design & structure (Economics) Economics literature Market equilibrium sug: subj: Broadcasting industry Empirical research Radio and Television Broadcasting and Wireless Communications Equipment Manufacturing Market design & structure (Economics) Economics literature Market equilibrium ab: A vast theoretical literature explores inefficient market structures in free-entry equilibria, and previous empirical work demonstrated that excessive entry may obtain in local radio markets. We extend that literature by relaxing the assumption that stations are symmetric, allowing for endogenous horizontal and (unobserved) vertical station differentiation. We find that, in most broadcasting formats, a social planner who takes into account the welfare of market participants eliminates 50%-60% of the observed stations. In 80%-94.9% of markets where high-quality stations are observed, welfare could be unambiguously improved by converting one such station into low-quality broadcasting, suggesting local overprovision of quality. pubtype: Academic Journal doctype: Article src: R language: English refInfo: copyright: @attributes: flag: N holdings: @attributes: islocal: N |
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