"Any real content-based definition of [diverse
programming] may well give rise to enormous
tensions with the First Amendment."
Lutheran Church v. FCC, 1998
The mass media and advertising industries are subjects of considerable public debate because of the role they play in communicating political viewpoints and cultural values. Economic analysis increasingly has become a critical input to these debates and to policy decisions.
Overview
The mass media—including broadcast television, cable and satellite television, radio, newspapers, magazines, books, videos, and the Internet—largely share three characteristics: First Amendment protections and concerns about diversity; economies of scale arising from the relatively large fixed costs associated with creation of the first copy of a media product; and competition not only to sell products to audiences but to sell access to those audiences to advertisers.
Experience
EI economists have participated in the formulation of media policy while serving at the Federal Communications Commission, Department of Justice, Federal Trade Commission, and White House Office of Telecommunications Policy. In addition, EI economists have published extensively on media issues and are recognized for their contributions to economic and policy debates.
Because of their familiarity with media economics as well as antitrust analysis, EI economists are frequently called upon to analyze issues of market definition, market power, and damages relating to the mass media in connection with regulatory proceedings, federal agencies investigations, and court cases. Extensive media experience has enabled EI economists to develop particular expertise in issues relating to competition in advertising and direct marketing.
Examples of mass media and advertising work by EI economists include: