COMPETITION FOR VIEWERS AND ADVERTISERS IN A TV OLIGOPOLY

We consider a model of a TV oligopoly where TV channels transmit advertising and viewersdislike such commercials. We show that advertisers make a lower profit the larger the numberof TV channels. If TV channels are sufficiently close substitutes, there will be underprovisionof advertising relative to social optimum. We also find that the more viewers dislike ads, themore likely it is that welfare is increasing in the number of advertising financed TV channels...

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Year of publication:	2006-11-01
Authors:	Kind, Hans Jarle ; Nilssen, Tore ; Sørgard, Lars
Institutions:	CESifo GmbH <München>
Subject:	Werbung \| advertising \| Privates Fernsehen \| Fernsehen

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Extent:	293888 bytes 26 p. application/pdf
Series:	CESifo - Center for Economic Studies & Institute for Economic Research - Working Papers CESIFO WORKING PAPER NO. 1862 CATEGORY 9: INDUSTRIAL ORGANISATION (2006)
Type of publication:	Book / Working Paper
Language:	English
Classification:	L82 - Entertainment; Media (Performing Arts, Visual Arts, Broadcasting, Publishing, etc.) ; M37 - Advertising ; Sales promotion and advertising ; Individual Working Papers, Preprints ; No country specification
Source:	USB Cologne (business full texts)

Persistent link: https://www.econbiz.de/10005861187