Competition in the TV Industry

Here are some of the interesting points/questions reviewed at this week's Economics Club:

1. Competition is essential in the TV industry as it provides variety to consumers.

2. Price acts as a signal to what consumers are willing to pay for, eg the price you pay for cable tv. Even commerical TV has a price attached to it (through TV license)

3. Is TV the most influential source of media? What about the radio? The newspaper?

4. What kind of competition exists in the TV industry? Is it monopolistic competition? Perfect competition? Or is it a monopoly? Most people would argue that a monopolistic competition exists in the TV industry in their country.

5. What kind of good do u classify TV as? A public good? A merit good? A quasi-public good? With that in mind, how should it be provided to consumers? Should the government have a greater participation in providing such a good?

Also, I'll leave you guys with this link(courtesy of Rene), looking at the subprime mortgage crisis in a different light!!

Bird and Fortune - Subprime Crisis

http://uk.youtube.com/watch?v=mzJmTCYmo9g

Take care and see you guys at the Economics Club next week!