Kind, Hans Jarle; Nilssen, Tore; Sørgard, Lars - CESifo GmbH <München> - 2006
We consider a model of a TV oligopoly where TV channels transmit advertising and viewersdislike such commercials. We show that advertisers make a lower profit the larger the numberof TV channels. If TV channels are sufficiently close substitutes, there will be underprovisionof advertising...