Replication data for: The Welfare Effects of Bundling in Multichannel Television Markets

Principal Investigator(s): View help for Principal Investigator(s) Gregory S. Crawford; Ali Yurukoglu

Name	File Type	Size	Last Modified
Crawford_Yurukoglu_Fake_Data_and_Code			10/11/2019 05:01:PM
ReadMe.pdf	application/pdf	93.2 KB	10/11/2019 01:00:PM

Project Description

Summary: We measure how the bundling of television channels affects short-run welfare. We estimate an industry model of viewership, demand, pricing, bundling, and input-market bargaining using data on ratings, purchases, prices, bundles, and input costs. We conduct simulations of à la carte policies that require distributors to offer individual channels for sale to consumers. We estimate that negotiated input costs rise by 103.0 percent under à la carte. These higher input costs offset consumer benefits from purchasing individual channels. Mean consumer and total surplus change by an estimated — 5.4 to 0.2 percent and — 1.7 to 6.0 percent, respectively. (JEL D12, L11, L51, L82, M31)

Scope of Project

JEL Classification:
      D12 Consumer Economics: Empirical Analysis
      L11 Production, Pricing, and Market Structure; Size Distribution of Firms
      L51 Economics of Regulation
      L82 Entertainment; Media
      M31 Marketing

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Published Versions

V1 [2019-10-11]

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DDI 2.5

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