Does Self-regulation of Advertisement Length Improve Consumer Welfare?

Matsubae, Taisuke; Matsushima, Noriaki

Does Self-regulation of Advertisement Length Improve Consumer Welfare?

Matsubae, Taisuke; Matsushima, Noriaki

Institute of Social and Economic Research Discussion Papers, 2012, 829

Number of Access:281（2025-07-24 04:41 Counts）

Identifier to cite or link to this item: https://hdl.handle.net/11094/23387

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Title	Does Self-regulation of Advertisement Length Improve Consumer Welfare?
Creator	NRID 1000000823783 1000000823783 CreatorName Matsubae, Taisuke
Creator	NRID 1000080334879 1000080334879 ORCID 0000-0002-7865-3875 0000-0002-7865-3875 researchmap permalink read0116301 read0116301 Scopus Author ID 7005645778 7005645778 CreatorName Matsushima, Noriaki
Subject	self-regulation
	program quality
	advertisement volume
	consumer surplus
	heterogeneous consumer
Abstract	In Japan, TV platforms regulate themselves as to the length of the advertisements they air. Using modified Hotelling models, we investigate whether such self-regulation improves consumer and social welfare or not. When all consumers choose a single TV program (the utility functions of consumers satisfy the standard ‘full-coverage’condition), self-regulation always reduces consumer welfare. It improves social welfare only if the advertisement revenue of each platform is not small and the cost parameter of investments in improving the quality of TV programs is small. When some consumers have outside options (the standard ‘full-coverage’ condition is not satisfied), self-regulation can benefit consumers because it increases the number of consumers who watch TV programs.
Publisher	The Institute of Social and Economic Research, Osaka University
Source Title	Institute of Social and Economic Research Discussion Papers
Volume (Issue)	829
Date of Issued	2012-01
Language	English
Handle URL	https://hdl.handle.net/11094/23387
Relation.references	URI https://www.iser.osaka-u.ac.jp/static/resources/docs/dp/2012/DP0829.pdf
Access Rights	metadata only access
Category	ディスカッション／ワーキング・ペーパー DP/WP
Category	Institute of Social and Economic Research Discussion Papers

Resource Type	technical report
Local Type	DP/WP
DCMI Type	Text
DCTERMS.bibliographicCitation	Institute of Social and Economic Research Discussion Papers. 2012, 829
DC.title	Does Self-regulation of Advertisement Length Improve Consumer Welfare?
DC.creator	Matsubae, Taisuke
DC.creator	Matsushima, Noriaki
DC.publisher	The Institute of Social and Economic Research, Osaka University
DC.language' scheme='DCTERMS.RFC1766	English
DC.type' scheme='DCTERMS.DCMIType	Text
DCTERMS.issued' scheme='DCTERMS.W3CDTF	2012-01
DC.relation' scheme='DCTERMS.URI	https://www.iser.osaka-u.ac.jp/static/resources/docs/dp/2012/DP0829.pdf
DC.subject	self-regulation
	program quality
	advertisement volume
	consumer surplus
	heterogeneous consumer
DCTERMS.abstract	In Japan, TV platforms regulate themselves as to the length of the advertisements they air. Using modified Hotelling models, we investigate whether such self-regulation improves consumer and social welfare or not. When all consumers choose a single TV program (the utility functions of consumers satisfy the standard ‘full-coverage’condition), self-regulation always reduces consumer welfare. It improves social welfare only if the advertisement revenue of each platform is not small and the cost parameter of investments in improving the quality of TV programs is small. When some consumers have outside options (the standard ‘full-coverage’ condition is not satisfied), self-regulation can benefit consumers because it increases the number of consumers who watch TV programs.
DC.format	23387
citation_title	Does Self-regulation of Advertisement Length Improve Consumer Welfare?
citation_author	Matsubae, Taisuke
citation_author	Matsushima, Noriaki
citation_publisher	The Institute of Social and Economic Research, Osaka University
citation_language	English
citation_date	2012-01
citation_journal_title	Institute of Social and Economic Research Discussion Papers
citation_volume	829
citation_public_url	https://hdl.handle.net/11094/23387
citation_abstract_html_url	https://www.iser.osaka-u.ac.jp/static/resources/docs/dp/2012/DP0829.pdf

Does Self-regulation of Advertisement Length Improve Consumer Welfare?

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