the political economy of mass media

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The political economy of mass media Riccardo Puglisi Advanced Political Economics Bocconi University

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Page 1: The political economy of mass media

The political economy of mass media

Riccardo Puglisi

Advanced Political EconomicsBocconi University

Page 2: The political economy of mass media

A roadmap

I The political position of the media: how to measure it

I What determines the political position of media outlets?(demand vs. supply)

I What are the persuasive effects of the media? (relevance ofsupply side)

I Game-theoretic models on the political role of the media:commitment models vs. political agency models

Page 3: The political economy of mass media

A roadmap

I The political position of the media: how to measure it

I What determines the political position of media outlets?(demand vs. supply)

I What are the persuasive effects of the media? (relevance ofsupply side)

I Game-theoretic models on the political role of the media:commitment models vs. political agency models

Page 4: The political economy of mass media

A roadmap

I The political position of the media: how to measure it

I What determines the political position of media outlets?(demand vs. supply)

I What are the persuasive effects of the media? (relevance ofsupply side)

I Game-theoretic models on the political role of the media:commitment models vs. political agency models

Page 5: The political economy of mass media

A roadmap

I The political position of the media: how to measure it

I What determines the political position of media outlets?(demand vs. supply)

I What are the persuasive effects of the media? (relevance ofsupply side)

I Game-theoretic models on the political role of the media:commitment models vs. political agency models

Page 6: The political economy of mass media

The political position of the media: measuring it

I First approximation: a unidimensional policy space (but: what

about a multidimensional policy space?)

I Methodological standpoint: get replicable and portable measures.

I Two different approaches:

I (1) the comparison approach: compare media outlets withpolitical actors whose ideological position is known (e.g.congressmen and/or voters))

I (2) the agenda approach: analyse the amount of coveragedevoted to different policy relevant issues (agenda-setting)and/or the way those issues are covered (framing and priming)

Page 7: The political economy of mass media

The political position of the media: measuring it

I First approximation: a unidimensional policy space (but: what

about a multidimensional policy space?)

I Methodological standpoint: get replicable and portable measures.

I Two different approaches:

I (1) the comparison approach: compare media outlets withpolitical actors whose ideological position is known (e.g.congressmen and/or voters))

I (2) the agenda approach: analyse the amount of coveragedevoted to different policy relevant issues (agenda-setting)and/or the way those issues are covered (framing and priming)

Page 8: The political economy of mass media

The political position of the media: measuring it

I First approximation: a unidimensional policy space (but: what

about a multidimensional policy space?)

I Methodological standpoint: get replicable and portable measures.

I Two different approaches:

I (1) the comparison approach: compare media outlets withpolitical actors whose ideological position is known (e.g.congressmen and/or voters))

I (2) the agenda approach: analyse the amount of coveragedevoted to different policy relevant issues (agenda-setting)and/or the way those issues are covered (framing and priming)

Page 9: The political economy of mass media

The political position of the media: measuring it

I First approximation: a unidimensional policy space (but: what

about a multidimensional policy space?)

I Methodological standpoint: get replicable and portable measures.

I Two different approaches:

I (1) the comparison approach: compare media outlets withpolitical actors whose ideological position is known (e.g.congressmen and/or voters))

I (2) the agenda approach: analyse the amount of coveragedevoted to different policy relevant issues (agenda-setting)and/or the way those issues are covered (framing and priming)

Page 10: The political economy of mass media

The political position of the media: measuring it

I First approximation: a unidimensional policy space (but: what

about a multidimensional policy space?)

I Methodological standpoint: get replicable and portable measures.

I Two different approaches:

I (1) the comparison approach: compare media outlets withpolitical actors whose ideological position is known (e.g.congressmen and/or voters))

I (2) the agenda approach: analyse the amount of coveragedevoted to different policy relevant issues (agenda-setting)and/or the way those issues are covered (framing and priming)

Page 11: The political economy of mass media

Measurement: the comparison approach

I Premise: one can easily classify congressmen on an ideological scale by

studying their roll call votes.

I Still, we need to find a “bridge” that connects congressmen and media

outlets.

I First idea: We code a given newspaper or TV news broadcast as left

leaning, the more it cites –in a non-negative fashion– those think-tanks

which are more often cited by Democratic congressmen: Groseclose and

Milyo [2005].

I Second idea: We code a newspaper or TV broadcast as left leaning if its

language is more similar to the language used by Democrati congressmen.

For example: estate tax vs. death tax. Gentzkow and Shapiro [2009].

I Third idea: I code a newspaper as left leaning the more it provides

endorsements on referenda that are aligned with the endorsements made

by the Democratic party. Since voters vote on referenda (by definition!), I

can compare newspapapers to voters as well. Puglisi e Snyder [2009].

Page 12: The political economy of mass media

Measurement: the comparison approach

I Premise: one can easily classify congressmen on an ideological scale by

studying their roll call votes.

I Still, we need to find a “bridge” that connects congressmen and media

outlets.

I First idea: We code a given newspaper or TV news broadcast as left

leaning, the more it cites –in a non-negative fashion– those think-tanks

which are more often cited by Democratic congressmen: Groseclose and

Milyo [2005].

I Second idea: We code a newspaper or TV broadcast as left leaning if its

language is more similar to the language used by Democrati congressmen.

For example: estate tax vs. death tax. Gentzkow and Shapiro [2009].

I Third idea: I code a newspaper as left leaning the more it provides

endorsements on referenda that are aligned with the endorsements made

by the Democratic party. Since voters vote on referenda (by definition!), I

can compare newspapapers to voters as well. Puglisi e Snyder [2009].

Page 13: The political economy of mass media

Measurement: the comparison approach

I Premise: one can easily classify congressmen on an ideological scale by

studying their roll call votes.

I Still, we need to find a “bridge” that connects congressmen and media

outlets.

I First idea: We code a given newspaper or TV news broadcast as left

leaning, the more it cites –in a non-negative fashion– those think-tanks

which are more often cited by Democratic congressmen: Groseclose and

Milyo [2005].

I Second idea: We code a newspaper or TV broadcast as left leaning if its

language is more similar to the language used by Democrati congressmen.

For example: estate tax vs. death tax. Gentzkow and Shapiro [2009].

I Third idea: I code a newspaper as left leaning the more it provides

endorsements on referenda that are aligned with the endorsements made

by the Democratic party. Since voters vote on referenda (by definition!), I

can compare newspapapers to voters as well. Puglisi e Snyder [2009].

Page 14: The political economy of mass media

Measurement: the comparison approach

I Premise: one can easily classify congressmen on an ideological scale by

studying their roll call votes.

I Still, we need to find a “bridge” that connects congressmen and media

outlets.

I First idea: We code a given newspaper or TV news broadcast as left

leaning, the more it cites –in a non-negative fashion– those think-tanks

which are more often cited by Democratic congressmen: Groseclose and

Milyo [2005].

I Second idea: We code a newspaper or TV broadcast as left leaning if its

language is more similar to the language used by Democrati congressmen.

For example: estate tax vs. death tax. Gentzkow and Shapiro [2009].

I Third idea: I code a newspaper as left leaning the more it provides

endorsements on referenda that are aligned with the endorsements made

by the Democratic party. Since voters vote on referenda (by definition!), I

can compare newspapapers to voters as well. Puglisi e Snyder [2009].

Page 15: The political economy of mass media

Measurement: the comparison approach

I Premise: one can easily classify congressmen on an ideological scale by

studying their roll call votes.

I Still, we need to find a “bridge” that connects congressmen and media

outlets.

I First idea: We code a given newspaper or TV news broadcast as left

leaning, the more it cites –in a non-negative fashion– those think-tanks

which are more often cited by Democratic congressmen: Groseclose and

Milyo [2005].

I Second idea: We code a newspaper or TV broadcast as left leaning if its

language is more similar to the language used by Democrati congressmen.

For example: estate tax vs. death tax. Gentzkow and Shapiro [2009].

I Third idea: I code a newspaper as left leaning the more it provides

endorsements on referenda that are aligned with the endorsements made

by the Democratic party. Since voters vote on referenda (by definition!), I

can compare newspapapers to voters as well. Puglisi e Snyder [2009].

Page 16: The political economy of mass media

Measurement: the agenda approach

I One can investigate whether and to what extent during presidential

campaigns a given newspaper gives more coverage to issues on which

Democrats or Republicans are perceived as more competent(issue

ownership). E.g.: health care and civil rights vs. defense. Puglisi [2011]:

issue coverage by the NYT during the 1946-1996 period.

I Investigate the variation in coverage of bad economic news, as a function

of the political affiliation of the incumbent president. Larcinese et al.

[2011].

I Investigate the variation in coverage of corruption scandals, depending on

the political affiliation of those involved Puglisi and Snyder [2011].

I Analyse the variation in the tone of newspaper headlines about the

release of macroeconomic figures, again as a function of the political

affiliation of the incumbent president. Lott and Hassett [2004].

Page 17: The political economy of mass media

Measurement: the agenda approach

I One can investigate whether and to what extent during presidential

campaigns a given newspaper gives more coverage to issues on which

Democrats or Republicans are perceived as more competent(issue

ownership). E.g.: health care and civil rights vs. defense. Puglisi [2011]:

issue coverage by the NYT during the 1946-1996 period.

I Investigate the variation in coverage of bad economic news, as a function

of the political affiliation of the incumbent president. Larcinese et al.

[2011].

I Investigate the variation in coverage of corruption scandals, depending on

the political affiliation of those involved Puglisi and Snyder [2011].

I Analyse the variation in the tone of newspaper headlines about the

release of macroeconomic figures, again as a function of the political

affiliation of the incumbent president. Lott and Hassett [2004].

Page 18: The political economy of mass media

Measurement: the agenda approach

I One can investigate whether and to what extent during presidential

campaigns a given newspaper gives more coverage to issues on which

Democrats or Republicans are perceived as more competent(issue

ownership). E.g.: health care and civil rights vs. defense. Puglisi [2011]:

issue coverage by the NYT during the 1946-1996 period.

I Investigate the variation in coverage of bad economic news, as a function

of the political affiliation of the incumbent president. Larcinese et al.

[2011].

I Investigate the variation in coverage of corruption scandals, depending on

the political affiliation of those involved Puglisi and Snyder [2011].

I Analyse the variation in the tone of newspaper headlines about the

release of macroeconomic figures, again as a function of the political

affiliation of the incumbent president. Lott and Hassett [2004].

Page 19: The political economy of mass media

Measurement: the agenda approach

I One can investigate whether and to what extent during presidential

campaigns a given newspaper gives more coverage to issues on which

Democrats or Republicans are perceived as more competent(issue

ownership). E.g.: health care and civil rights vs. defense. Puglisi [2011]:

issue coverage by the NYT during the 1946-1996 period.

I Investigate the variation in coverage of bad economic news, as a function

of the political affiliation of the incumbent president. Larcinese et al.

[2011].

I Investigate the variation in coverage of corruption scandals, depending on

the political affiliation of those involved Puglisi and Snyder [2011].

I Analyse the variation in the tone of newspaper headlines about the

release of macroeconomic figures, again as a function of the political

affiliation of the incumbent president. Lott and Hassett [2004].

Page 20: The political economy of mass media

News on unemployment

Unemployment rate

Democratic president

Republican president

Media bias?

Page 21: The political economy of mass media

News

Unemployment

News

Unemployment

Republican newspaper

Democratic newspaper

compare them!

Page 22: The political economy of mass media

Time variation in net Democratic endorsements on the LA Times vs. Democratic vote in California

year2

Net Dem Endorsements Avg Dem Vote Pct - .5

1940 1950 1960 1970 1980 1990 2000

-1

-.5

0

.5

Page 23: The political economy of mass media

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Page 24: The political economy of mass media

44.

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Page 25: The political economy of mass media

Factors affecting the political position of the media

I Demand side: preferences of readers/viewers for ideologically consonant

media content. How to measure it? The average Democratic vote in

areas where a given newspaper circulates. Gentzkow and Shapiro [2009].

I Supply side: ideological preferences of owners, editors and journalists.

How to measure them? Party donations by owners. Average propensity to

endorse Democratic vs. Republican candidates on the editorial page.

Larcinese et al. [2011], Puglisi and Snyder [2011].

I Other relevant factors: extent of competition on the media market;

pressure by incumbent politicians.

I A case study on Italy (time devoted to politicians): Durante and Knight

[2009].

Page 26: The political economy of mass media

Factors affecting the political position of the media

I Demand side: preferences of readers/viewers for ideologically consonant

media content. How to measure it? The average Democratic vote in

areas where a given newspaper circulates. Gentzkow and Shapiro [2009].

I Supply side: ideological preferences of owners, editors and journalists.

How to measure them? Party donations by owners. Average propensity to

endorse Democratic vs. Republican candidates on the editorial page.

Larcinese et al. [2011], Puglisi and Snyder [2011].

I Other relevant factors: extent of competition on the media market;

pressure by incumbent politicians.

I A case study on Italy (time devoted to politicians): Durante and Knight

[2009].

Page 27: The political economy of mass media

Factors affecting the political position of the media

I Demand side: preferences of readers/viewers for ideologically consonant

media content. How to measure it? The average Democratic vote in

areas where a given newspaper circulates. Gentzkow and Shapiro [2009].

I Supply side: ideological preferences of owners, editors and journalists.

How to measure them? Party donations by owners. Average propensity to

endorse Democratic vs. Republican candidates on the editorial page.

Larcinese et al. [2011], Puglisi and Snyder [2011].

I Other relevant factors: extent of competition on the media market;

pressure by incumbent politicians.

I A case study on Italy (time devoted to politicians): Durante and Knight

[2009].

Page 28: The political economy of mass media

Factors affecting the political position of the media

I Demand side: preferences of readers/viewers for ideologically consonant

media content. How to measure it? The average Democratic vote in

areas where a given newspaper circulates. Gentzkow and Shapiro [2009].

I Supply side: ideological preferences of owners, editors and journalists.

How to measure them? Party donations by owners. Average propensity to

endorse Democratic vs. Republican candidates on the editorial page.

Larcinese et al. [2011], Puglisi and Snyder [2011].

I Other relevant factors: extent of competition on the media market;

pressure by incumbent politicians.

I A case study on Italy (time devoted to politicians): Durante and Knight

[2009].

Page 29: The political economy of mass media

The persuasion effects of the media

I Full-fledged experiment vs. natural experiment.

I Experiment: a free subscription to a right wing newspaper (the

Washington Times)) to a random sample, a free subscription to a liberal

newspaper to another random sample (Washington Post) + control

group. Study the effects on gubernatorial vote in Virginia. Gerber, Karlan

and Bergan [2008].

I Natural experiment: correlation between gradual introduction of Fox

News in T cable markets and Republican vote in presidential elections.

DellaVigna and Kaplan [2007].

I Persuasion and rationality of message recipients: only “surprising”

endorsements have significant effects on propensity to vote for that

candidate. Chiang and Knight [2011].

Page 30: The political economy of mass media

The persuasion effects of the media

I Full-fledged experiment vs. natural experiment.

I Experiment: a free subscription to a right wing newspaper (the

Washington Times)) to a random sample, a free subscription to a liberal

newspaper to another random sample (Washington Post) + control

group. Study the effects on gubernatorial vote in Virginia. Gerber, Karlan

and Bergan [2008].

I Natural experiment: correlation between gradual introduction of Fox

News in T cable markets and Republican vote in presidential elections.

DellaVigna and Kaplan [2007].

I Persuasion and rationality of message recipients: only “surprising”

endorsements have significant effects on propensity to vote for that

candidate. Chiang and Knight [2011].

Page 31: The political economy of mass media

The persuasion effects of the media

I Full-fledged experiment vs. natural experiment.

I Experiment: a free subscription to a right wing newspaper (the

Washington Times)) to a random sample, a free subscription to a liberal

newspaper to another random sample (Washington Post) + control

group. Study the effects on gubernatorial vote in Virginia. Gerber, Karlan

and Bergan [2008].

I Natural experiment: correlation between gradual introduction of Fox

News in T cable markets and Republican vote in presidential elections.

DellaVigna and Kaplan [2007].

I Persuasion and rationality of message recipients: only “surprising”

endorsements have significant effects on propensity to vote for that

candidate. Chiang and Knight [2011].

Page 32: The political economy of mass media

The persuasion effects of the media

I Full-fledged experiment vs. natural experiment.

I Experiment: a free subscription to a right wing newspaper (the

Washington Times)) to a random sample, a free subscription to a liberal

newspaper to another random sample (Washington Post) + control

group. Study the effects on gubernatorial vote in Virginia. Gerber, Karlan

and Bergan [2008].

I Natural experiment: correlation between gradual introduction of Fox

News in T cable markets and Republican vote in presidential elections.

DellaVigna and Kaplan [2007].

I Persuasion and rationality of message recipients: only “surprising”

endorsements have significant effects on propensity to vote for that

candidate. Chiang and Knight [2011].

Page 33: The political economy of mass media

Concluding remarks

I An expanding literature, mainly focused on the US.

I Relevant aspects: replicable measures and identification of causal

effect.

I A comparative perspective: approaches to be applied to other

countries.

Page 34: The political economy of mass media

Concluding remarks

I An expanding literature, mainly focused on the US.

I Relevant aspects: replicable measures and identification of causal

effect.

I A comparative perspective: approaches to be applied to other

countries.

Page 35: The political economy of mass media

Concluding remarks

I An expanding literature, mainly focused on the US.

I Relevant aspects: replicable measures and identification of causal

effect.

I A comparative perspective: approaches to be applied to other

countries.