The Merits of Merit Goods: Local Journalism and Public Policy in a Time of Austerity

Abstract

Local journalism is often categorized by policymakers and academics as what neoclassical economists call a public good. The theory of public goods is used to describe journalism's nonrivalrous and nonexcludable characteristics and explain its positive externalities. Challenging this, I argue that the discourse of public goods is insufficient to fully capture the social democratic importance of local journalism. In its place, I call for a shift to thinking about local news as a merit good. Positioning local news as a merit good gives political economic leverage for increased regulatory support and encourages efforts to ensure the sustainability of local journalism.