nep-cul New Economics Papers
on Cultural Economics
Issue of 2013‒12‒06
two papers chosen by
Roberto Zanola
University Amedeo Avogadro

  1. Home is where your art is: the home bias of art collectors By Lasse Steiner; Bruno S. Frey; Magnus Resch
  2. Cross-Checking the Media By Rudiger, Jesper

  1. By: Lasse Steiner; Bruno S. Frey; Magnus Resch
    Abstract: This paper analysis the global distribution of art collections and collectors´ biases with respect to the origin of artworks. Employing a unique dataset we find that the greatest number of private art collections are located in Europe, North America and Asia. There are relatively few collections in Latin America and Africa. The artists whose oeuvres dominate the markets for collected art come from North America, followed by Asian and European artists. The home bias in private art collections turns out to be strong in all continents and countries. It is highest for Asian and African collections and smaller for European and North American collections. The home bias can partly be accounted for by high export and import restrictions.
    Keywords: Art collection, home bias, trade restrictions, artists
    JEL: Z11 F14 K20
    Date: 2013–11
  2. By: Rudiger, Jesper
    Abstract: A characteristic of the news market is that consumers often cross-check information, i.e. observe several news outlets. At the same time, data on political media suggest that more partisan consumers are more likely to cross-check. We explore these phenomena by building a model of horizontal competition in newspaper endorsements. Without cross-checking, outlets are unbiased and minimally differentiated. When cross-checking is allowed, we show that cross-checkers are indeed more partisan than those who only acquire one report. Furthermore, cross-checking induces outlets to differentiate, and the degree of differentiation is increasing in the dispersion of consumer beliefs. Differentiation is detrimental to consumer welfare, and a single monopoly outlet may provide higher consumer welfare than a competitive duopoly.
    Keywords: News Markets; Media Bias; Cross-checking; Hotelling
    JEL: D82 D83 L81
    Date: 2013–11–28

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