The Effects of Market Structure and Ownership on Prices and Service Offerings in the U.S. Cable Television Industry
Volume: Volume 28, No. 4
Issue: Winter 1997
Pages: pp. 732-750
Authors: William M. Emmons III and Robin A. Prager
Title: The Effects of Market Structure and Ownership on Prices and Service Offerings in the U.S. Cable Television Industry
Abstract: This article provides empirical evidence on the effects of alternative market structures and ownership modes on prices and service offerings in the cable television industry. We analyze the underlying characteristics and behavior of competing versus monopoly operators on the one hand, and privately versus nonprivately owned operators on the other. We find that competition and nonprivate ownership are associated with lower prices for basic cable television service. We also find that cable television price and quality differentials vary with certain characteristics of competing operators, and that market structure and ownership status influence changes in price and quality over time.
JEL Classification
Production, Pricing, and Market Structure; Size and Size Distribution of
Firms Concentration, Product Differentiation, Entry and Exit (L110)
Entertainment; Media, Performing Arts, Visual Arts, Broadcasting, Publishing,
etc. (L820)
Market Structure: Industrial Organization and Corporate
Strategy (6110)
Industry Studies, Services, Entertainment, Recreation,
Tourism (6358)
Industry Studies, Electrical, Gas, Communication, and
Information Services (6352)