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Media competition and electoral politics

Author

Listed:
  • Florian Schuett

    (University of Tilburg)

  • Amedeo Piolatto

    (Universidad de Alicante)

Abstract

We build a framework linking competition in the media market to political participation. Media outlets report on the ability of candidates running for office and compete for audience through their choice of slant. Citizens consume news only if the expected utility of being informed about candidates' ability is sufficiently large for their group collectively. Our results can reconcile seemingly contradictory empirical evidence showing that entry in the media market can either increase or decrease turnout. While information pushes up independent turnout, partisans adjust their turnout to the ability of their preferred candidate, and on average they vote less when informed.

Suggested Citation

  • Florian Schuett & Amedeo Piolatto, 2014. "Media competition and electoral politics," Working Papers. Serie AD 2014-03, Instituto Valenciano de Investigaciones Económicas, S.A. (Ivie).
    • Handle: RePEc:ivi:wpasad:2014-03
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    2. Johansson, Anders C., 2016. "Social Media and Politics in Indonesia," Stockholm School of Economics Asia Working Paper Series 2016-42, Stockholm School of Economics, Stockholm China Economic Research Institute.
    3. Sendhil Mullainathan & Andrei Shleifer, 2005. "The Market for News," American Economic Review, American Economic Association, vol. 95(4), pages 1031-1053, September.
    4. Bruns, Christian & Himmler, Oliver, 2016. "Mass media, instrumental information, and electoral accountability," Journal of Public Economics, Elsevier, vol. 134(C), pages 75-84.
    5. Philipp Denter & Martin Dumav & Boris Ginzburg, 2021. "Social Connectivity, Media Bias, and Correlation Neglect," The Economic Journal, Royal Economic Society, vol. 131(637), pages 2033-2057.
    6. Andina-Díaz, Ascensión & García-Martínez, José A., 2020. "Reputation and news suppression in the media industry," Games and Economic Behavior, Elsevier, vol. 123(C), pages 240-271.
    7. Julia Cage, 2017. "Media Competition, Information Provision and Political Participation: Evidence from French Local Newspapers and Elections, 1944-2014," SciencePo Working papers hal-03393164, HAL.
    8. Julia Cage, 2017. "Media Competition, Information Provision and Political Participation: Evidence from French Local Newspapers and Elections, 1944-2014," SciencePo Working papers Main hal-03393164, HAL.
    9. Cagé, Julia & Cassan, Guilhem & Jensenius, Francesca R, 2023. "Electoral Importance and the News Market: Novel Data and Quasi-Experimental Evidence from India," CAGE Online Working Paper Series 655, Competitive Advantage in the Global Economy (CAGE).
    10. Poy, Samuele & Schüller, Simone, 2020. "Internet and voting in the social media era: Evidence from a local broadband policy," Research Policy, Elsevier, vol. 49(1).
    11. Joan Calzada & Nestor Duch-Brown & Ricard Gil, 2021. "Do search engines increase concentration in media markets?," UB School of Economics Working Papers 2021/415, University of Barcelona School of Economics.
    12. van Gils, Freek & Müller, Wieland & Prüfer, Jens, 2020. "Big Data and Democracy," Discussion Paper 2020-003, Tilburg University, Tilburg Law and Economic Center.
    13. Eraslan, Hulya & Ozerturk, Saltuk, 2017. "Information Gatekeeping and Media Bias," Working Papers 17-001, Rice University, Department of Economics.
    14. Andersen, Jørgen Juel & Heggedal, Tom-Reiel, 2019. "Political rents and voter information in search equilibrium," Games and Economic Behavior, Elsevier, vol. 114(C), pages 146-168.
    15. Hulya Eraslan & Saltuk Ozerturk, 2018. "Information Gatekeeping and Media Bias," Koç University-TUSIAD Economic Research Forum Working Papers 1808, Koc University-TUSIAD Economic Research Forum.
    16. Junze Sun & Arthur Schram & Randolph Sloof, 2019. "A Theory on Media Bias and Elections," Tinbergen Institute Discussion Papers 19-048/I, Tinbergen Institute.
    17. Pogorelskiy. Kirill & Shum, Matthew, 2019. "News We Like to Share : How News Sharing on Social Networks Influences Voting Outcomes," The Warwick Economics Research Paper Series (TWERPS) 1199, University of Warwick, Department of Economics.
    18. Cagé, Julia, 2020. "Media competition, information provision and political participation: Evidence from French local newspapers and elections, 1944–2014," Journal of Public Economics, Elsevier, vol. 185(C).
    19. Cagé, Julia, 2017. "Media Competition, Information Provision and Political Participation: Evidence from French Local Newspapers and Elections, 1944," CEPR Discussion Papers 12198, C.E.P.R. Discussion Papers.
    20. Schreiner, Nicolas, 2021. "Changes in Well-Being Around Elections," Working papers 2021/03, Faculty of Business and Economics - University of Basel.
    21. Guo, Wen-Chung & Lai, Fu-Chuan & Suen, Wing, 2018. "Downs meets d’Aspremont and company: Convergence versus differentiation in politics and the media," International Journal of Industrial Organization, Elsevier, vol. 60(C), pages 96-125.
    22. Pogorelskiy, Kirill & Shum, Matthew, 2019. "News We Like to Share: How News Sharing on Social Networks Influences Voting Outcomes," CAGE Online Working Paper Series 427, Competitive Advantage in the Global Economy (CAGE).
    23. Christopher Li & Ricardo Pique, 2020. "A theory of strategic voting with non-instrumental motives," Social Choice and Welfare, Springer;The Society for Social Choice and Welfare, vol. 55(2), pages 369-398, August.

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    More about this item

    Keywords

    Demand for news; Electoral turnout; Group-rule utilitarianism; Media bias.;
    All these keywords.

    JEL classification:

    • D72 - Microeconomics - - Analysis of Collective Decision-Making - - - Political Processes: Rent-seeking, Lobbying, Elections, Legislatures, and Voting Behavior
    • L82 - Industrial Organization - - Industry Studies: Services - - - Entertainment; Media

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