A valuation of viewing public broadcasting with endogeneity: The life satisfaction approach

Abstract

The evaluation of the amenities and benefits of public broadcasting is crucially important, given the accelerated convergence of broadcasting and telecommunications and the increasing heterogeneity of media use by individuals. We attempted to quantify and monetize the value of viewing public broadcasting by adopting the experienced utility approach and taking advantage of viewers’ subjective well-being. With the help of microdata provided from surveys conducted by a Japanese public broadcaster, the crucial findings of our analysis are that viewing public broadcasting has a considerable monetary value, as well as an endogenous property. We also found a detrimental association between public broadcast viewing and life satisfaction (a subjective well-being indicator), which diminishes among adolescents and early middle-aged people. This implies that a diversified and complex viewing method is emerging that is a particular characteristic of these age groups, and which may mitigate the negative effect of conventional methods of viewing.