Economic perspectives on public relations

This paper explores the relationship between economic theory and public relations, in order to explain how public relations management contributes to companies’ overall economic gains. It uses a “blend” of economic theories to explain the role and contribution of public relations from the economic point of view. The paper sees a link between the strategic management of public relations as a function, and portions of neoclassical theory, as well as to alternative economic approaches relating to investments and transaction costs.