The Market for News : a Demand-Oriented Analysis
This paper proposes a framework for the analysis of the demand- side in the market for news, whereas the existing literature has mainly focused on the supply side. We modeled explicitly the value of information and the demand for news. In particular, the relationship between the level of education and the individual's reading behaviour is stressed. In our framework, education makes the individuals more efficient in processing information and therefore allows them to save on the opportunity cost of time. We obtain the standard prediction of a positive relationship between education and reading. Moreover the choice of reading one versus more reports is explained by the relationship between education and the reading cost.
|Date of creation:||2009|
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