Economies of Scale in Media Markets

Marc Bourreau

doi:10.1002/9781405186407.wbiece002

Economies of Scale in Media Markets

Marc Bourreau

Research output: Chapter in Book/Report/Conference proceeding › Chapter › peer-review

Abstract

Since Samuelson (1958), the economic literature has considered that production in the media industries (films, TV programs, music, etc.) is characterized by high fixed costs and economies of scale. For instance, the costs of creating a TV program are high, but the incremental cost of physical distribution to an additional consumer is very low or even nil. Broadcast television should therefore exhibit large economies of scale.

Original language	English
Title of host publication	The International Encyclopedia of Communication
Publisher	wiley
ISBN (Electronic)	9781405186407
ISBN (Print)	9781405131995
DOIs	https://doi.org/10.1002/9781405186407.wbiece002
Publication status	Published - 1 Jan 2008

Keywords

economics
media economics and management

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10.1002/9781405186407.wbiece002

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AB - Since Samuelson (1958), the economic literature has considered that production in the media industries (films, TV programs, music, etc.) is characterized by high fixed costs and economies of scale. For instance, the costs of creating a TV program are high, but the incremental cost of physical distribution to an additional consumer is very low or even nil. Broadcast television should therefore exhibit large economies of scale.

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ER -

Economies of Scale in Media Markets

Abstract

Keywords

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