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A peer-reviewed quarterly journal publishing articles by academics and practitioners.
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Type: Journal Articles Authors: Mark Armstrong ISSN: Print: 0143-5671 Online: 1475-5890
Published in: Fiscal Studies, Vol. 26, No. 3, September 2005
Volume, issue, pages: Vol. 26, No. 3, pp. 281-299
JEL classification: D62, L15, L33, L82
This essay discusses the merits of public intervention in the provision of television broadcasting services. I argue that intervention was justified in the past, when there were just a few channels and when advertising was the sole source of commercial funds. However, the advent of subscription television overcomes many of the market failures that once existed. Moreover, asymmetric treatment of broadcasters acts to distort the incentives of commercial broadcasters. Finally, viewers have an increasing ability to avoid unappealing, but perhaps socially desirable, content, which further weakens the case for public intervention in the market. Search |

