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Media bias, slant regulation, and the public-interest media

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  • Wen-Chung Guo
  • Fu-Chuan Lai

Abstract

This study addresses the role of government in reducing media bias that arises from the demand side. Introducing a public-interest media outlet reduces the equilibrium slants that would otherwise exist under laissez-faire. Subsidy for the truthful report and price regulation are designed to effectively remedy media bias. The socially optimal subsidy policy can reduce both slant and media prices. Copyright Springer-Verlag Wien 2015

Suggested Citation

  • Wen-Chung Guo & Fu-Chuan Lai, 2015. "Media bias, slant regulation, and the public-interest media," Journal of Economics, Springer, vol. 114(3), pages 291-308, April.
    • Handle: RePEc:kap:jeczfn:v:114:y:2015:i:3:p:291-308
    DOI: 10.1007/s00712-014-0396-2
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    Cited by:

    1. Jun Hu, 2021. "Regulation of media bias on online newspapers," Working Papers hal-03120466, HAL.
    2. Sendhil Mullainathan & Andrei Shleifer, 2005. "The Market for News," American Economic Review, American Economic Association, vol. 95(4), pages 1031-1053, September.

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    More about this item

    Keywords

    Hotelling; Media bias; Public-interest media; Regulation; D43; H21; L82;
    All these keywords.

    JEL classification:

    • D43 - Microeconomics - - Market Structure, Pricing, and Design - - - Oligopoly and Other Forms of Market Imperfection
    • H21 - Public Economics - - Taxation, Subsidies, and Revenue - - - Efficiency; Optimal Taxation
    • L82 - Industrial Organization - - Industry Studies: Services - - - Entertainment; Media

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