The Public Value Notion in UK Public Service
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THE LONDON SCHOOL OF ECONOMICS AND POLITICAL SCIENCE The Public Value Notion in UK Public Service Broadcasting – An Analysis of the Ideological Justification of Public Service Broadcasting in the Context of Evolving Media Policy Paradigms Eva Marie Knoll A thesis submitted to the Department of Media and Communications of the London School of Economics for the degree of Doctor of Philosophy, London, October 2012. 1 Declaration I certify that the thesis I have presented for examination for the MPhil/PhD degree of the London School of Economics and Political Science is solely my own work other than where I have clearly indicated that it is the work of others (in which case the extent of any work carried out jointly by me and any other person is clearly identified in it). The copyright of this thesis rests with the author. Quotation from it is permitted, provided that full acknowledgement is made. This thesis may not be reproduced without the prior written consent of the author. I warrant that this authorization does not, to the best of my belief, infringe the rights of any third party. I declare that my thesis consists of 97,689 words. 2 Abstract The thesis investigates the application of the public value notion in UK public service broadcasting (PSB). In the context of technological change from analogue to digital broadcasting and the reduction of applicable market failures, the notion has been used to describe the remit and assess the performance of PSB, thus providing sustained justification of PSB in the digital age. The overall research interest is to investigate the public value notion in the context of evolving media policy paradigms to examine whether its institutionalisation represents a paradigm shift in the ideological justification of PSB. The ideological justification is investigated in the form of economic and non- economic regulatory rationales as different academic approaches to market intervention and public service provision. As a fundamental type of policy change, the paradigm shift concept is operationalised by devising an analytical framework that consists of two analytical strands; an ideological shift and a policy process analysis. Based on a case study approach of the notion’s application at the BBC and Channel 4, the research design employs interpretative textual analysis of documents and expert interviews to investigate the ideological composition of the public value notion and its wider policy process. The research finds that no paradigm shift has taken place in the justification of PSB as the public value notion continues the overall more economic than non-economic focus of the incumbent media policy paradigm. These findings contribute to media and public policy studies with regard to the understanding and classification of (media policy) paradigm shifts as a fundamental type of policy change and the use of economic and non-economic rationales as different ideologies in informing policy ideas and decisions-making in media policy. 3 Acknowledgements First and foremost, I would like to thank my family, in particular my parents for their unconditional love and support which made this thesis possible. I also wish to extend my thanks to my supervisor Dr Damian Tambini for his guidance. My special thanks are also due to those who agreed to be interviewed for this thesis. 4 Table of Contents Declaration .......................................................................................................... 2 Abstract .......................................................................................................... 3 Acknowledgements ...................................................................................................... 4 Table of Contents ......................................................................................................... 5 List of Acronyms and Abbreviations ......................................................................... 10 List of Tables and Figures .......................................................................................... 11 1. Introduction ...................................................................................................... 12 1.1 The Public Value Notion and the Justification of Public Service Broadcasting: A Fundamental Shift in Ideology? ..................................... 12 1.2 Public Value Management in Public Administration Theory .................... 16 1.3 Ideological Shifts and Media Policy Paradigms ........................................ 20 1.4 Paradigm Shifts as Fundamental Changes in Policy .................................. 24 1.5 Definition of Key Concepts, the Analytical Framework and the Research Questions .................................................................................... 34 1.6 Chapter Outline .......................................................................................... 41 2. Regulatory Rationales Part I: Economic Approaches ................................. 43 2.1 The Role and Relevance of Economic and Non-Economic Rationales .... 43 2.2 Economic and Non-Economic Rationales: Introduction............................ 49 2.3 Regulatory Rationales in Economic Theory .............................................. 52 2.3.1 Microeconomic Theory and Market Failure Rationales .................... 52 Monopolies ................................................................................................. 53 Asymmetric Information ............................................................................. 55 Public Goods .............................................................................................. 56 Externalities ............................................................................................... 57 Summary: Market Failures ........................................................................ 59 2.3.2 Merit Goods and Behavioural Economics ......................................... 61 2.3 Conclusion ................................................................................................. 64 5 3. Regulatory Theory Part II: Non-Economic Approaches and Comparison ....................................................................................................... 67 3.1 Non-Economic Rationales: Social, Cultural, Legal, and Political Approaches ................................................................................................. 67 3.1.1 Regulatory Rationales from Social and Cultural Studies ................... 70 3.1.2 Regulatory Rationales from the Field of Law .................................... 70 3.1.3 Regulatory Rationales from Political Science.................................... 72 3.1.4 Non-Economic Rationales and PSB Justification .............................. 74 3.2 Comparison of Economic and Non-Economic Rationales: Substantive and Procedural Characteristics ................................................................... 75 3.3 Conclusion: Economic and Non-Economic Rationales ............................. 85 4. Theories on Influence Factors and Influence Taking in Policy-Making ..... 87 4.1 Influence Factors in Policy-Making: Interest Theories and Neo- Institutional Approaches ............................................................................ 89 4.1.1 Public and Private Interest Theories .................................................. 90 4.1.1.1 Public Interest Theories ............................................................. 90 4.1.1.2 Private and Group Interest Theories ......................................... 91 4.1.2 Neo-Institutional Approaches ............................................................ 93 4.1.2.1 Rational Choice Neo-Institutionalism ........................................ 96 4.1.2.2 Historical Neo-Institutionalism .................................................. 97 4.1.2.3 Sociological Neo-Institutionalism .............................................. 98 4.2 Non-market Strategy: Policy Ideas and Policy Environments ................. 103 4.3 The Conceptual Framework ..................................................................... 107 5. The UK Broadcasting Ecology: The Public Value Notion and the History of Evolving Media Policy Paradigms............................................................ 111 5.1 The First Media Policy Paradigm: Early 20th Century until 1940s ......... 111 5.2 The Second Media Policy Paradigm: 1945 until 1980s ........................... 113 5.3 The Third Media Policy Paradigm: 1980s until 2000 .............................. 117 5.4 The Contemporary Context and the Research Interest: Emergence of a New PSB Policy Paradigm? ..................................................................... 128 5.5 The Research Questions ........................................................................... 132 6 6. Research Design ............................................................................................. 134 6.1 A Comparative Case Study Approach: Interpretative Policy Analysis and Epistemological Considerations ............................................................... 134 6.2 Component Analysis: Ideological Classification of the Public Value Notion ....................................................................................................... 137 6.2.1 Document Analysis .......................................................................... 138 6.2.2 Analytical Steps: Sampling, Data Collection and Analysis ............. 139 6.2.2.1 Sampling .................................................................................