| Article ID | Journal | Published Year | Pages | File Type |
|---|---|---|---|---|
| 5075730 | Information Economics and Policy | 2015 | 5 Pages |
Abstract
We develop a simple theoretical model that explains the slant towards negative coverage in news media. In a framework where news is informative and consumers are risk averse, diminishing marginal utility implies that information about a negative income shock is more valuable than information about a positive shock, which leads to disproportionate reporting of bad news.
Related Topics
Social Sciences and Humanities
Business, Management and Accounting
Management of Technology and Innovation
Authors
Jill J. McCluskey, Johan Swinnen, Thijs Vandemoortele,