Assessing the Efficiency of the Federal Radio Commission's Regulation of Broadcasting
50 Pages Posted: 17 Oct 2017 Last revised: 4 Feb 2021
Date Written: October 16, 2017
The author explores the relative efficiency implications of Federal Radio Commission regulation under the Radio Act of 1927 and a system of spectrum property rights. He examines the technological efficiency achieved by FRC regulation and compares that outcome with a scenario of property rights in broadcast frequencies set forth by Ronald Coase (1959). The author concludes that spectrum property rights would have resulted in more radio service in urban areas and diminished consumer welfare.
Keywords: Coase; Radio Act; Broadcasting; Spectrum; Spectrum Markets; Property Rights
JEL Classification: L51; L96; K23
Suggested Citation: Suggested Citation