FTC Regulatory Activity and the Information Content of Advertising

Meta-analysis of studies examining more than 66,000 U.S. advertisements indicates that advertisements contained significantly fewer objective information claims during a period of strict advertising regulation by the Federal Trade Commission (1971-1981) than in the subsequent, less stringent period...

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Bibliographic Details
Published in:Journal of public policy & marketing 1998-10, Vol.17 (2), p.239-256
Main Authors: Abernethy, Avery M., Franke, George R.
Format: Article
Language:English
Subjects:
Advertising
Advertising campaigns
Advertising research
Advertising restrictions
Comparative advertising
Competition
Consumer advertising
Consumer Price Index
Consumers
Cost control
Enforcement
False advertising
Government agencies
Information content
Information dissemination
Marketing
Meta-analysis
Prices
Public policy
Regression analysis
Regulation
Studies
Trade regulations
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Summary:Meta-analysis of studies examining more than 66,000 U.S. advertisements indicates that advertisements contained significantly fewer objective information claims during a period of strict advertising regulation by the Federal Trade Commission (1971-1981) than in the subsequent, less stringent period (1982-1992). The results do not appear to be due to spurious effects of atypical studies, other contemporaneous trends in the United States, or global economic factors. An important implication for public policy is that strict advertising regulation may have reduced the amount of advertising information available to consumers.
ISSN:0743-9156
1547-7207
DOI:10.1177/074391569801700208