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Elections and Market Provision of Information

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  • Christian Bruns

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.

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  • Christian Bruns, 2013. "Elections and Market Provision of Information," CESifo Working Paper Series 4091, CESifo.
    • Handle: RePEc:ces:ceswps:_4091
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    References listed on IDEAS

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    Cited by:

    1. Bruns, Christian & Himmler, Oliver, 2016. "Mass media, instrumental information, and electoral accountability," Journal of Public Economics, Elsevier, vol. 134(C), pages 75-84.
    2. Bruns, Christian & Himmler, Oliver, 2014. "A Theory of Political Accountability and Journalism," MPRA Paper 59286, University Library of Munich, Germany.

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    More about this item

    Keywords

    elections; information; media;
    All these keywords.

    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

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