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Discrimination and minority ownership in radio broadcasting

Author

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  • George Ford
  • Barry Haworth
  • Audrey Kline

Abstract

Minority preferences in the broadcasting industry date to the early 1970s when the Federal Communications Commission (FCC) developed programs to encourage minority ownership of radio stations. In this article, one particular justification for minority preferences in radio broadcasting is examined. Specifically, it is evaluated whether or not minority-owned radio stations experience a revenue penalty simply because they are minority owned. Evidence of such discrimination may support minority preferences in radio broadcasting under the more stringent legal standard for minority preferences established by the Supreme Court decision of Adarand v. Pena. No evidence of discrimination in the radio industry is found, at least discrimination that would be detected by a revenue handicap for minority-owned stations.

Suggested Citation

  • George Ford & Barry Haworth & Audrey Kline, 2003. "Discrimination and minority ownership in radio broadcasting," International Journal of the Economics of Business, Taylor & Francis Journals, vol. 10(3), pages 359-371.
  • Handle: RePEc:taf:ijecbs:v:10:y:2003:i:3:p:359-371
    DOI: 10.1080/1357151032000126292
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    References listed on IDEAS

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    1. White, Halbert, 1980. "A Heteroskedasticity-Consistent Covariance Matrix Estimator and a Direct Test for Heteroskedasticity," Econometrica, Econometric Society, vol. 48(4), pages 817-838, May.
    2. Lindley, James T & Selby, Edward B, Jr & Jackson, John D, 1984. "Racial Discrimination in the Provision of Financial Services," American Economic Review, American Economic Association, vol. 74(4), pages 735-741, September.
    3. Cotton, Jeremiah, 1988. "On the Decomposition of Wage Differentials," The Review of Economics and Statistics, MIT Press, vol. 70(2), pages 236-243, May.
    4. Phelps, Edmund S, 1972. "The Statistical Theory of Racism and Sexism," American Economic Review, American Economic Association, vol. 62(4), pages 659-661, September.
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    Keywords

    Broadcasting; Discrimination; Communications;

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