Local Journalism under Private Equity Ownership
85 Pages Posted: 11 Oct 2021 Last revised: 3 Apr 2023
There are 2 versions of this paper
Local Journalism under Private Equity Ownership
Local Journalism Under Private Equity Ownership
Date Written: April 2, 2023
Abstract
Local daily newspapers historically played an important role in U.S. democracy by informing citizens about local policy issues. In a panel of 1,610 unique newspapers, we show that private equity acquisitions—which have increased over time and affect 262 newspapers in our data—lead to declines in local election participation. Other ownership changes do not. This is best explained by private equity shifting the composition of news away from local governance, accompanied by fewer reporters and editors. It is not explained by survivorship. Overall, the provision of news that is crucial for successful local democracy appears sensitive to firm ownership.
Keywords: Private equity, newspapers, media, local journalism, civic engagement
JEL Classification: G23, G32, H42, L82
Suggested Citation: Suggested Citation