Elections and Market Provision of Information
Abstract
Economists usually think that rational voters have little incentives to acquire costly information. We present a theoretical model to show that, in contrast to this widely held belief, rational voters acquire considerable amounts of information if media technology is available because then they do not condition their informational decisions on being pivotal. The model also shows that the quality of media coverage is inefficiently low because voters have incentives to free-ride. Further, we show how the quality of information depends on the size of the electorate, the prior knowledge of voters and on the technology to produce information.Download Info
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Paper provided by CESifo Group Munich in its series CESifo Working Paper Series with number 4091.Length:
Date of creation: 2013
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Handle: RePEc:ces:ceswps:_4091
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Related research
Keywords: elections; information; media;Find related papers by JEL classification:
- D72 - Microeconomics - - Analysis of Collective Decision-Making - - - Political Processes: Rent-seeking, Lobbying, Elections, Legislatures, and Voting Behavior
- D80 - Microeconomics - - Information, Knowledge, and Uncertainty - - - General
- H41 - Public Economics - - Publicly Provided Goods - - - Public Goods
References
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