Newspapers in Times of Low Advertising Revenues

• 成果类型: Article
• 署名作者: Angelucci, Charles; Cage, Julia
• 署名单位: Columbia University
• 刊物名称: AMERICAN ECONOMIC JOURNAL-MICROECONOMICS
• ISSN/ISSBN: 1945-7669
• DOI: 10.1257/mic.20170306
• 发表日期: 2019
• 页码: 319-364
• 关键词: 2-sided markets; mass-media; COMPETITION; IMPACT; price; entry; QUALITY; online

摘要

We model the consequences on newspapers' content and prices of a reduction in advertising revenues. Newspapers choose the size of their newsroom, and readers are heterogeneous in their ideal amount of journalistic-intensive content. We show that a reduction in advertising revenues lowers newspapers' incentives to produce journalistic-intensive content. We also build a unique dataset on French newspapers between 1960 and 1974 and perform a difference-in-differences analysis exploiting the introduction of advertising on television, which affected national newspapers more severely than local ones. We find robust evidence of a decrease in the amount of journalistic-intensive content produced and the subscription price.