Sunday, September 23, 2012

Barriers to entry vs. Diversity of views

In most countries, there may be structural barriers to entry in the media industry, especially broadcasting, for some reasons. As mentioned by Hoskins et al., many countries tend to impose regulation and regal controls on broadcasting business. That is because “governments consider intervention necessary in cultural industries to further cultural goals.” In addition to that reason, governments tend to have control over the media through policies on license to broadcasting.
At the same time, however, “diversity of views,” which can be attained by being exposed to a wide range of sources and opinions, is also deemed as a desirable objective for media industries in democratic society. If so, from the viewpoint of Industrial Organization Framework, I’m wondering how the “barriers to entry (structure)” determines the “diversity of views (performance)" and h0w the latter reacts to the former.

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