Media and Policy†

In this paper, we identify a mechanism through which media concentration reduces political polarization and media competition (via media specialization) increases polarization. This mechanism may help explain the patterns of US Congressional polarization. In an effort to avoid offending potential customers, a concentrated media avoids making clear-cut endorsements and, as a result, provides little information. This, in turn, leads to a convergence of party policy positions. Under competition media companies specialize to a narrow ideological spectrum and, as a result, can offer strong endorsements without risk of offending customers. This leads to a divergence of party’s policy position and to political polarization. † This research was supported by grants from the National Science Foundation.