Economies of Scale in the Media Industry
Economies of Scale in the Media Industry
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媒体行业的规模经济
DOI:
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发表时间:
2002
期刊:
影响因子:
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通讯作者:
Jerome Perani
中科院分区:
文献类型:
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作者:
M. Bourreau;M. Gensollen;Jerome Perani
The economic literature considers that in the media industry production is characterized by high fixed costs and economies of scale. However, empirical evidence seems to belie that idea, for very often the programs and films with large audiences also have high production costs. In this article we propose a program production cost function that reconciles the theory of high fixed costs in content production with empirical evidence. To that end, we develop an empirical estimation of the program cost function in pay-television, and put forward some ideas to explain why production cost is an increasing function of the targeted audience. JEL Codes: L82; L15.