STICERD Industrial Organisation Seminars
Ownership Concentration and Strategic Supply Reduction
Ulrich Doraszelski (Wharton School), joint with Katja Seimz, Michael Sinkinsonx, Peichun Wang
Monday 20 May 2019 12:30 - 14:00
Many of our seminars and public events this year will continue as in person or as hybrid (online and in person) events. Please check our website listings and Twitter feed @STICERD_LSE for updates.
Unless otherwise specified, in-person seminars are open to the public.
Those unable to join the seminars in-person are welcome to participate via zoom if the event is hybrid.
About this event
We explore the implications of ownership concentration for the recently-concluded incentive auction that re-purposed spectrum from broadcast TV to mobile broadband usage in the U.S. We document significant multi-license ownership of TV stations. We show that in the reverse auction, in which TV stations bid to relinquish their licenses, multi-license owners have an incentive to withhold some TV stations to drive up prices for their remaining TV stations. Using a large-scale valuation exercise, we find that this strategic supply reduction conservatively increases payouts to TV stations by between 7.0% and 20.7%.
Industrial Organisation seminars are held on Mondays in term time at 12:30-14:00, in person in SAL 3.05, unless specified otherwise.
Seminar organiser: Alessandro Gavazza.
For further information please contact Sadia Ali: email@example.com.
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