Advertising Caps and News Quality

Maria Rosa Battaggion and Alessandro Vaglio ()
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Alessandro Vaglio: University of Bergamo

Economics Bulletin, 2020, vol. 40, issue 1, 117-127

Abstract: The paper analyzes, from a theoretical viewpoint, the effects of a switch of advertising resources from press to broadcasting, focusing on the implications for the quality of information provided by media outlets. Our main conclusions are that the alleged impact of advertising on newspapers' quality is ambiguous in the complementary case, while in the substitute case a shift of advertising resources from press to broadcasting would increase newspapers' quality.

Keywords: Advertising cap; Broadcasting; Newspapers; Information quality (search for similar items in EconPapers)
JEL-codes: L1 L5 (search for similar items in EconPapers)
Date: 2020-02-05
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