Does public service broadcasting serve the public? The future of television in the changing media landscape
AbstractThe media landscape is subject to substantial technological change. In this Discussion Paper, we analyse how technological trends affect the economic rationale for PSB. After identifying the aims and nature of PSB, we derive eight possible market failures from the specific economic characteristics of information. The changing relevance of these market failures is subsequently discussed in the light of the technological changes. Based on this analysis, we argue that public service broadcasting (PSB) for the digital age should be light in the sense that it has a much smaller mandate. The main reason for this conclusion is that, due to technological developments, many market failures in the broadcasting industry are no longer relevant. The broadcasting market thus functions more and more like a normal market. This implies that the allocation tends to the efficient outcome, as long as consumer valuation is properly accounted for. This is not the case when there are externalities and possibly not when it comes to valuing quality. In the presence of these market failures, an efficient allocation is not warranted in the broadcasting industry. It is these remaining market failures that give a future PSB a right to exist.
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
Bibliographic InfoPaper provided by CPB Netherlands Bureau for Economic Policy Analysis in its series CPB Discussion Paper with number 43.
Date of creation: Apr 2005
Date of revision:
Other versions of this item:
- Machiel Dijk & Richard Nahuis & Daniel Waagmeester, 2006. "Does Public Service Broadcasting Serve The Public? The Future of Television in the Changing Media Landscape," De Economist, Springer, vol. 154(2), pages 251-276, June.
- Machiel van Dijk & Richard Nahuis & Daniel Waagmeester, 2005. "Does Public Service Broadcasting Serve The Public? The Future Of Television In The Changing Media Landscape," Working Papers 05-13, Utrecht School of Economics.
- L3 - Industrial Organization - - Nonprofit Organizations and Public Enterprise
- H4 - Public Economics - - Publicly Provided Goods
This paper has been announced in the following NEP Reports:
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.:
- Harry ter Rele & G. van Steen, 2001. "Housing subsidisation in the Netherlands; measuring its distortionary and distributional effects," CPB Discussion Paper 2, CPB Netherlands Bureau for Economic Policy Analysis.
- Sendhil Mullainathan & Andrei Shleifer, 2002.
NBER Working Papers
9295, National Bureau of Economic Research, Inc.
- Sendhil Mullainathan & Andrei Shleifer, 2002. "Media Bias," Harvard Institute of Economic Research Working Papers 1981, Harvard - Institute of Economic Research.
- George, Lisa, 2007. "What's fit to print: The effect of ownership concentration on product variety in daily newspaper markets," Information Economics and Policy, Elsevier, vol. 19(3-4), pages 285-303, October.
- Bourreau, Marc, 2003. "Mimicking vs. counter-programming strategies for television programs," Information Economics and Policy, Elsevier, vol. 15(1), pages 35-54, March.
- Anderson, Simon P & Gabszewicz, Jean Jaskold, 2005.
"The Media and Advertising: A Tale of Two-Sided Markets,"
CEPR Discussion Papers
5223, C.E.P.R. Discussion Papers.
- Anderson, Simon P. & Gabszewicz, Jean J., 2006. "The Media and Advertising: A Tale of Two-Sided Markets," Handbook of the Economics of Art and Culture, Elsevier.
- ANDERSON, Simon P. & GABSZEWICZ, Jean J., . "The media and advertising: a tale of two-sidedmarkets," CORE Discussion Papers RP -1888, Université catholique de Louvain, Center for Operations Research and Econometrics (CORE).
- Simon P., ANDERSON & Jean J., GABSZEWICZ, 2005. "The media and advertising : a table of two-sided markets," Discussion Papers (ECON - DÃ©partement des Sciences Economiques) 2005060, Université catholique de Louvain, Département des Sciences Economiques.
- ANDERSON, Simon P. & GABSZEWICZ, Jean J., 2005. "The media and advertising : a tale of two-sided markets," CORE Discussion Papers 2005088, Université catholique de Louvain, Center for Operations Research and Econometrics (CORE).
- Massimo Motta & Michele Polo, 1997. "Concentration and public policies in the broadcasting industry: the future of television," Economic Policy, CEPR & CES & MSH, vol. 12(25), pages 293-334, October.
- Victor Ginsburgh & David Throsby, 2006.
"Handbook of the economics of art and culture,"
ULB Institutional Repository
2013/1673, ULB -- Universite Libre de Bruxelles.
- Richard Nahuis & Paul Tang, 2002. "Strategic competition with public infrastructure; ineffective and unwelcome?," CPB Discussion Paper 8, CPB Netherlands Bureau for Economic Policy Analysis.
- Peter Mulder & Henri de Groot, 2003.
"Sectoral energy- and labour-productivity convergence,"
CPB Discussion Paper
23, CPB Netherlands Bureau for Economic Policy Analysis.
- Peter Mulder & Henri Groot, 2007. "Sectoral Energy- and Labour-Productivity Convergence," Environmental & Resource Economics, European Association of Environmental and Resource Economists, vol. 36(1), pages 85-112, January.
- Peter Mulder & Henri L.F. de Groot, 2004. "Sectoral Energy- and Labour-Productivity Convergence," Tinbergen Institute Discussion Papers 04-003/3, Tinbergen Institute.
- Henri De Groot & Peter Mulder, 2004. "Sectoral Energy- and Labour-Productivity Convergence," ERSA conference papers ersa04p337, European Regional Science Association.
- Richard Nahuis & Ashok Parikh, 2004.
"Factor Mobility and Regional Disparities: East, West, Home's Best?,"
Economics Working Papers
026, European Network of Economic Policy Research Institutes.
- Richard Nahuis & A. Parikh, 2002. "Factor mobility and regional disparities; east, west, home's best?," CPB Discussion Paper 4, CPB Netherlands Bureau for Economic Policy Analysis.
- Eric de Laat & Rudy Douven & Esther Mot & F. Windmeijer, 2004.
"Pharmaceutical promotion and GP prescription behaviour,"
CPB Discussion Paper
30, CPB Netherlands Bureau for Economic Policy Analysis.
- Frank Windmeijer & Eric de Laat & Rudy Douven & Esther Mot, 2006. "Pharmaceutical promotion and GP prescription behaviour," Health Economics, John Wiley & Sons, Ltd., vol. 15(1), pages 5-18.
- Yannis Bakos & Erik Brynjolfsson, 1999.
"Bundling Information Goods: Pricing, Profits, and Efficiency,"
INFORMS, vol. 45(12), pages 1613-1630, December.
- Yannis Bakos & Erik Brynjolfsson, 1997. "Bundling Information Goods: Pricing, Profits and Efficiency," Working Paper Series 199, MIT Center for Coordination Science.
- Akerlof, George A, 1970. "The Market for 'Lemons': Quality Uncertainty and the Market Mechanism," The Quarterly Journal of Economics, MIT Press, vol. 84(3), pages 488-500, August.
- Barry Nalebuff, 2000. "Competing Against Bundles," Yale School of Management Working Papers ysm157, Yale School of Management.
- Free Huizinga & Peter Broer, 2004. "Wage moderation and labour productivity," CPB Discussion Paper 28, CPB Netherlands Bureau for Economic Policy Analysis.
- Henri de Groot, 2001. "On the optimal timing of reductions of CO2 emissions; an economists' perspective on the debate on "when flexibility"," CPB Discussion Paper 1, CPB Netherlands Bureau for Economic Policy Analysis.
- Spence, A Michael & Owen, Bruce, 1977. "Television Programming, Monopolistic Competition, and Welfare," The Quarterly Journal of Economics, MIT Press, vol. 91(1), pages 103-26, February.
- N. Gregory Mankiw & Michael D. Whinston, 1986. "Free Entry and Social Inefficiency," RAND Journal of Economics, The RAND Corporation, vol. 17(1), pages 48-58, Spring.
- Hansen, Claus Thustrup & Kyhl, Soren, 2001. "Pay-per-view broadcasting of outstanding events: consequences of a ban," International Journal of Industrial Organization, Elsevier, vol. 19(3-4), pages 589-609, March.
- Simon P. Anderson & Stephen Coate, 2005.
"Market Provision of Broadcasting: A Welfare Analysis,"
Review of Economic Studies,
Oxford University Press, vol. 72(4), pages 947-972.
- Simon P. Anderson & Stephen Coate, 2003. "Market Provision of Broadcasting: A Welfare Analysis," Virginia Economics Online Papers 358, University of Virginia, Department of Economics.
- Mark Armstrong, 2005. "Public service broadcasting," Fiscal Studies, Institute for Fiscal Studies, vol. 26(3), pages 281-299, September.
- Nadine Lindstädt, 2010. "Germany’s PSB going online – is there an economic justification for Public Service Media online?," Working Papers 102/10, University of Southern Denmark, Department of Environmental and Business Economics.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: ().
If references are entirely missing, you can add them using this form.