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Government Advertising and Media Coverage of Corruption Scandals

  • Rafael Di Tella
  • Ignacio Franceschelli

We construct measures of the extent to which the four main newspapers in Argentina report government corruption on their front page during the period 1998-2007 and correlate them with government advertising. The correlation is negative. The size is considerable—a one standard deviation increase in monthly government advertising is associated with a reduction in the coverage of the government's corruption scandals of 0.23 of a front page per month, or 18 percent of a standard deviation in coverage. The results are robust to the inclusion of newspaper, month, newspaper Χ president and individual-corruption scandal fixed effects, as well as newspaper Χ president specific time trends. (JEL D72, K42, L82, M37, O17)

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File URL: http://www.aeaweb.org/articles.php?doi=10.1257/app.3.4.119
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Article provided by American Economic Association in its journal American Economic Journal: Applied Economics.

Volume (Year): 3 (2011)
Issue (Month): 4 (October)
Pages: 119-51

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Handle: RePEc:aea:aejapp:v:3:y:2011:i:4:p:119-51
Note: DOI: 10.1257/app.3.4.119
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