Advertising and the Market Process: a Modern Economic View.

Advertising and the Market Process: A Modern Economic View

The relationship between advertising and competition has been the subject of debate in the literature for quite some time. In this work, Ekelund and Saurman again examine this subject from its historical roots to the present.

After tracing the origins of advertising, the authors review the traditional arguments against it, including advertising's impact on industrial concentration and consumer demand. Following this review they examine, in substantially greater detail, the theoretical arguments in favor of advertising. The author focus on the role of advertising in providing information to the consumer as …