Media Mergers and Media Bias with Rational Consumers: Extended Version

摘要: We present an economic model of media bias and mergers. Media owners have political motives as well profit motives, can influence public opinion by withholding information that is pejorative to their agenda — provided not too far out the mainstream. This true even with rational consumers who understand owners’ biases, because do know how much news organizations so when being withheld. problem be undone competition; but competition defeated in equilibrium mergers enhance profits at expense interest. thus derive a motive for merger policy completely distinct from behind conventional antitrust.