*Associate Professor, Graduate School of Business Administration, University of Colorado at Denver. I have received helpful comments from Rich Foster, Sue Keaveney, and two anonymous referees. Remaining errors are my own. I would also like to thank the Graduate School of Business Administration, University of Colorado at Denver, for financial support.
COMPETITION AND THE CIGARETTE TV ADVERTISING BAN
Article first published online: 28 SEP 2007
Volume 29, Issue 1, pages 119–133, January 1991
How to Cite
Eckard, E. W. (1991), COMPETITION AND THE CIGARETTE TV ADVERTISING BAN. Economic Inquiry, 29: 119–133. doi: 10.1111/j.1465-7295.1991.tb01258.x
- Issue published online: 28 SEP 2007
- Article first published online: 28 SEP 2007
The 1970 ban on television advertising for cigarettes constitutes a quasi-experiment allowing the effect of advertising on competition to be evaluated. Assuming the ban reduced the efficacy of industry advertising, an analysis of various proxies for competition before and after the ban enables one to deduce whether advertising promotes or limits competition among cigarette firms. The results indicate that in this case the restriction of advertising reduced competition.