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regulation ppt - Regulation Obj100 What is Regulation...

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What is Regulation?     Regulation is control or direction by  govern behavior, typically applied to  businesses    Regulation is method of coordinating  complex social activities that the market  can’t effectively control or produce  desirable outcomes for society
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What is Regulation? n the government licenses broadcasters to  serve the public interest  n public airwaves, spectrum scarcity, and  local service have a long legal tradition in  US
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Rationale n Scarcity Theory:  electromagnetic  spectrum is limited and a national  resource; government reserves the right to  impose obligations & regulations on those  allowed to broadcast (traditional rationale)
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Rationale n Pervasive Presence theory:  TV and  radio so pervasive and potentially intrusive  that the public is entitled to some  protection from unwanted or offensive  messages (recent rationale)
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Telecommunications Act of 1996 n The most significant piece of electronic  legislation in more than 60 years n Intent - create competition between cable  & phone companies n Removed limits on number of radio  stations one could own n Liberalized rules covering local ownership
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Telecommunications Act of 1996 n The most significant piece of electronic  legislation in more than 60 years n Could own multiple stations if combined  viewership is less than 35% of nation’s  homes (up from 25%) n Created 8-year, license renewals for both  radio & TV  n Required new TV sets to carry “V-Chip”: 
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The Environment of Regulation: Participants 1. Federal Communications Commission n The FCC is a major force in the creation of  electronic media policy n 5 Commissioners: Presidential appointment,  Senate-confirmed n No more than 3 from any political party   
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The Environment of Regulation: Participants 1. Federal Communications Commission n The 5 Commissioners are served by the following  bureaus: n Consumer and Government Affairs Bureau: n Enforcement Bureau n Wireless Telecommunications Bureau n Wireline Competition Bureau
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Structure of the Federal Communications Commission
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The Environment of Regulation: Participants n 2. Congress n Created the FCC; all previous broadcast  legislation n Example: ended TV advertisement of cigarettes,  1969
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The Environment of Regulation: Participants n 2. Congress n Controls purse strings of FCC n Can create new legislation n Can hold public hearings on actions of FCC
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The Environment of Regulation: Participants n 3. Courts n Rivals Congress in terms of influence over the  FCC n Main Player: U.S. Court of Appeals (DC  Circuit) n Courts look for fair, nonarbitrary actions by the 
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The Environment of Regulation: Participants n 3. Courts n Courts interact with other regulatory forces –  not in a vacuum n Courts articulated the “pervasive presence”  rationale
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