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Cultural quotas in broadcasting I: a model

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Author Info
Martin Richardson ()

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Abstract

This paper develops a Hotelling location model in which two radio stations choose combinations of local and international content to play, given consumers with preferences distributed over those combinations. Station revenue derives from sales of advertising time, the demand for which depends negatively on the price and positively on the station’s market share and consumers get disutility from advertising and from a less-than-ideal broadcast mix of local and international content. In this setting we show that the laissez-faire solution involves less than (socially optimal) maximal differentiation

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Publisher Info
Paper provided by Australian National University, College of Business and Economics, School of Economics in its series ANUCBE School of Economics Working Papers with number 2004-442.

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Length: 23 pages
Date of creation: Jul 2004
Date of revision:
Handle: RePEc:acb:cbeeco:2004-442

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Find related papers by JEL classification:
L59 - Industrial Organization - - Regulation and Industrial Policy - - - Other
L82 - Industrial Organization - - Industry Studies: Services - - - Entertainment; Media
Z10 - Other Special Topics - - Cultural Economics - - - General

References listed on IDEAS
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  1. Steven T. Berry & Joel Waldfogel, 1999. "Free Entry and Social Inefficiency in Radio Broadcasting," RAND Journal of Economics, The RAND Corporation, vol. 30(3), pages 397-420, Autumn. [Downloadable!] (restricted)
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  2. Anderson, S. P. & Neven, D. J., 1989. "Market efficiency with combinable products," European Economic Review, Elsevier, vol. 33(4), pages 707-719, April. [Downloadable!] (restricted)
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  3. Martin Richardson, 2004. "Cultural quotas in broadcasting II: policy," ANUCBE School of Economics Working Papers 2004-443, Australian National University, College of Business and Economics, School of Economics. [Downloadable!]
  4. Keith Acheson & Christopher Maule, 1990. "Canadian Content Rules: A Time for Reconsideration," Canadian Public Policy, University of Toronto Press, vol. 16(3), pages 284-297, September. [Downloadable!] (restricted)
  5. Simon P. Anderson & Stephen Coate, 2000. "Market Provision of Public Goods: The Case of Broadcasting," NBER Working Papers 7513, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
  6. Berry, Steven T. & Waldfogel, Joel, 1999. "Public radio in the United States: does it correct market failure or cannibalize commercial stations?," Journal of Public Economics, Elsevier, vol. 71(2), pages 189-211, February. [Downloadable!] (restricted)
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(explanations, Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.)

  1. Martin Richardson, 2004. "Cultural quotas in broadcasting II: policy," ANUCBE School of Economics Working Papers 2004-443, Australian National University, College of Business and Economics, School of Economics. [Downloadable!]
  2. Claude Crampes & Abraham Hollander, 2008. "The regulation of audiovisual content: quotas and conflicting objectives," Journal of Regulatory Economics, Springer, vol. 34(3), pages 195-219, December. [Downloadable!] (restricted)
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