Chapter 13

T/F: The U.S. mainstream news media have done little in recent years to sustain a public debate.

True

T/F: The deregulation movement returned media economics to nineteenth-century principles.

True

T/F: The purpose of antitrust laws is to encourage diversity and competition in the marketplace.

True

T/F: The purpose of the 1950 Celler-Kefauver Act was to limit corporate mergers and joint ventures that reduced competition.

True

In 2006, Disney CEO Robert Iger merged the company with ______. A) Pixar B) ABC C) CBS D) Viacom E) Google

A) Pixar

Given that ______ percent of new media products fail, a flexible economy demands fast product development and market research. A) 10-20 B) 30-35 C) 40-50 D) 80-90 E) over 95

D) 80-90

Which of the following companies owns YouTube? A) Viacom B) General Electric C) Google D) Disney E) AOL

D) Disney

What was the impact/outcome of a 2010 Supreme Court decision (in a five-to-four vote) regarding campaign financing? A) Stricter limits were placed on the amount of money businesses could donate to political candidates and causes. B) No business or corporation is allowed to influence politicians with campaign cash. C) Only small businesses and unions can donate money to campaigns. D) The government cannot interfere in campaign spending by corporations. E) None of the options are correct.

D) The government cannot interfere in campaign spending by corporations.

The exportation of U.S. entertainment media is sometimes viewed as ______ because it discourages the development of original local products and value systems. A) criminal B) cultural dumping C) monopolistic D) consumer choice E) capitalistic

B) cultural dumping

Magazines like J-14 and AARP The Magazine that target a certain age group represent a form of ______. A) specialization B) globalization C) partisanship D) ageism E) synergy

A) specialization

T/F: The television network ABC is owned by Disney.

True

Of the new digital media conglomerates, which one has a main strength of search advertising? A) Google B) Facebook C) Apple D) Disney E) Amazon

A) Google

T/F: Apple holds the position of top digital media conglomerate.

False

T/F: Netflix struggled from 1997 until 2016 and even tried to sell out to Google.

False

T/F: News organizations owned by large media conglomerates have been significantly increasing the number of reporters assigned to cover international issues, especially following the terrorist attacks of September 11, 2001.

False

T/F: The global spread of media software and electronic hardware has made it easier for political leaders to secretly suppress dissident groups.

False

T/F: The success of Snow White, Fantasia, and Pinocchio propelled the Disney Company to major studio status.

False

Which of the following is a characteristic of the shift from an industrial to an information economy? A) A change in focus from mass production to niche markets B) A movement from global to local markets C) A movement from office work to factory and industrialized production D) An emphasis on laborers rather than service workers E) All of the options are correct.

A) A change in focus from mass production to niche markets

Which of the following is an example of synergy by Disney? A) Creating a movie series from its popular theme-park ride Pirates of the Caribbean. B) Merging with Pixar in 2006 C) Starting Buena Vista in 1953 D) Hiring Michael Eisner to lead a new management team in 1984 E) Opening Disneyland Paris in 1991

A) Creating a movie series from its popular theme-park ride Pirates of the Caribbean

Our society has been reluctant to debate the inequalities inherent in mass media ownership and has gradually collapsed the critical distinctions between ______. A) capitalism and the free market B) democracy and free speech C) space and time D) capitalism and democracy E) socialism and free speech

D) capitalism and democracy

T/F: Because of the rise of specialization, people under eighteen and women over thirty-five have more cable television shows targeted at them.

True

Which is a term that describes what happens when one society exports an overwhelming surge of media images that strongly influence everything from fashion styles to views of morality? A) Cultural imperialism B) Oligopoly C) Consumer choice D) Narrative storytelling E) Monopoly

A) Cultural imperialism

If the first half of the twentieth century was part of the Industrial Age, the shift away from manufacturing jobs starting in the 1950s led to a period often known as the ______. A) Monopolistic Age B) Information Age C) Cultural Imperialism Age D) MTV Age E) New Ice Age

B) Information Age

The first antitrust law, enacted in 1890, was the ______ Act. A) Clayton Antitrust B) Sherman Antitrust C) Celler-Kefauver D) Federal Trade Commission E) None of the options are correct.

B) Sherman Antitrust

The 1996 Telecommunications Act ______. A) placed limits on cable company rate increases B) allowed telephone companies to enter the TV and radio business C) allowed a company in the Top 20 market to own a newspaper and a TV station, as long as there were at least eight TV stations in the market D) used regulation to guard against ownership concentration E) None of the options are correct.

B) allowed telephone companies to enter the TV and radio business

In the 1950s, Disney was marked by ______. A) legal trouble B) corporate diversification C) global expansion D) economic turmoil E) corporate shake-ups

B) corporate diversification

The billion-dollar mergers and takeovers that swept the mass media in the 1990s were possible because of ______. A) speculation on Wall Street B) deregulation C) the collapse of communism D) the rise of the World Wide Web E) tighter legal controls on corporate spending

B) deregulation

The book publishing and motion-picture industries are both examples of ______. A) monopolies B) oligopolies C) O&Os D) limited competition E) None of the options are correct.

B) oligopolies

The concept of synergy can best be described as ______. A) the power of a new media development as it displaces old, less technologically advanced media B) several media subsidiaries working under one corporate umbrella to promote different versions of a media product C) the development of shopping-mall bookstores to boost book sales D) the development of more multimediated ways to distribute books E) the ability of one culture to dominate another

B) several media subsidiaries working under one corporate umbrella to promote different versions of a media product

The significant trends in major mainstream media economics today are ______. A) community ownership and civic action B) specialization and synergy C) partisanship and deference D) national ownership and community action E) dramatically greater diversity in ownership

B) specialization and synergy

One key paradox of the Information Age is that for economic discussions to be meaningful and democratic, they must be carried out in ______. A) educational settings B) the popular media as well as in educational settings C) community-action groups D) American homes E) presidential debates

B) the popular media as well as in educational settings

All five digital media conglomerates are weak in the area of ______. A) e-commerce B) search consoles C) hardware devices D) media narratives E) social media

D) media narratives

Disney expanded its global reach by ______. A) purchasing ABC B) opening a theme park in California C) merging with Pixar D) opening Tokyo Disney and Disneyland Paris E) None of the options are correct.

D) opening Tokyo Disney and Disneyland Paris

The ______ merger is considered the biggest media merger failure ever. A) Universal Music Group and EMI B) Time Warner and Turner Broadcasting C) Sirius and XM D) Disney and ABC E) AOL and Time Warner

E) AOL and Time Warner

According to the textbook, what's wrong with referring to a position as "common sense"? A) It creates a context in which there is less chance for challenge and criticism. B) Social and political leaders use it as a tool to stifle changes to the status quo. C) It is a social construct that shifts over time rather than representing any solid "truth." D) It is a powerful tool of hegemony. E) All of the options are correct.

E) All of the options are correct

The trend of downsizing ______. A) was spurred by deregulation and a decline in worker protections B) is supposed to make companies more profitable, competitive, and flexible C) has forced many employees to scramble for jobs D) has increased the wage gap between the corporate CEO and the average worker E) All of the options are correct.

E) All of the options are correct.

58. Which of the following is true about the globalization of media? A) It's more difficult for American media to reach other parts of the world. B) Globalization allows foreign companies to have more control over the media that Americans consume. C) Globalization has prevented U.S. TV channels from establishing a foothold in other countries. D) Globalization facilitates the equal development of media in both the United States and other countries. E) Globalization allows companies to recoup losses in the United States with sales overseas.

E) Globalization allows companies to recoup losses in the United States with sales overseas.

44. Which statement best reflects the progress of U.S. labor unions over the last seventy years? A) They have experienced steady growth and now represent 35 percent of workers. B) After being painted as "socialist," they saw their enrollment suffer badly through the 1940s, 1950s, and 1960s, but they have rebounded strongly in the last thirty years. C) Enrollment seems to rise and fall each decade, but with an overall peak since the turn of the twenty-first century. D) They have benefited greatly from the steady influx of manufacturing away from other countries. E) They grew steadily following World War II, peaked in the 1950s when about a third of Americans belonged to a union, then have watched their numbers dwindle as more manufacturing jobs move overseas.

E) They grew steadily following World War II, peaked in the 1950s when about a third of Americans belonged to a union, then have watched their numbers dwindle as more manufacturing jobs move overseas

T/F: Because today's flexible economy demands fast product development, smaller media companies have an advantage over their larger competitors.

False

T/F: From 2009 to 2012, most U.S. post-recession growth has been among middle class Americans.

False

T/F: Netflix killed the video store, and it is in the process of killing the movie theaters.

False

T/F: Public debates about the structure and ownership of the mass media are encouraged by media owners, who consider such discussion to be in their best interests.

False

T/F: The era of downsizing coincided with an increase in workers who belong to labor unions.

False

T/F: The global economy has reduced prices to the point where most low-paid workers in Third World factories can afford the stereos and TV sets they help manufacture.

False

T/F: The movement toward business deregulation started during the presidency of Ronald Reagan (1981-1989).

False

T/F: The term synergy describes the dynamic creative energy of media corporations such as Disney.

False

T/F: Disney now owns Iron Man, Spider-Man, and X-men.

True

T/F: Former CBS broadcast chief William Paley once argued that anyone who attacked the commercial broadcast system was attacking democracy itself.

True

T/F: Government controls over business were drastically weakened during the presidency of Ronald Reagan (1981-1989).

True

T/F: Most citizens of developed countries have a wide range of media products available to them, but have little say in which media are created and circulated.

True

T/F: Most media companies spread out their holdings among various types of mass media rather than trying to control one medium, to avoid monopoly charges.

True

T/F: One concern about the creation of a global village is cultural disconnection.

True

T/F: Synergy typically refers to the promotion and sale of different versions of a media product across the various subsidiaries of a media conglomerate.

True

T/F: The government trend toward deregulation was actually begun during the Carter years.

True

T/F: The shift to an information-based economy emphasized the cultivation of specialized niche media markets.

True

The transition to an information economy was characterized by ______. A) an increasingly centralized and permanent workforce B) intense product rivalry between one country and another C) an emphasis on mass rather than niche markets D) concentrated ownership in nearly every media sector E) the ever-increasing power of labor union movements

D) concentrated ownership in nearly every media sector

T/F: An oligopoly exists when there is a lot of variety in the number of sellers and producers of media content, but not much variety in what they actually produce.

False

T/F: American culture dominates global markets partly because it is appealing and partly for economic reasons.

True

Which of the following is not a statement that describes the modern concept of hegemony? A) Hegemony is a good tool for encouraging conversation and debate. B) Hegemony was a technique recommended by modern public relations founder Edward Bernays as a way to control public opinion. C) Hegemony's qualities are often defined or reinforced by narratives, or stories, told in various media forms including books, movies, and television. D) Hegemony tends to portray the social, economic, and political status quo as normal and natural ways to see the world. E) Hegemony tends to repel self-scrutiny or critical examination.

A) Hegemony is a good tool for encouraging conversation and debate

What was the reason a federal district court judge in California threw out media entrepreneur Byron Allen's $20 billion dollar lawsuit against Comcast and Time Warner Cable? A) The suit accused the cable companies of discriminating against black-owned media. B) The suit accused the cable companies of discriminating against female-owned media. C) The suit accused the cable companies of discriminating against Hispanic-owned media. D) The suit accused the cable companies of discriminating against Asian-owned media E) The suit accused the cable companies of limiting ownership to only white male media moguls like Rupert Murdock.

A) The suit accused the cable companies of discriminating against black-owned media.

In our market economy, citizens have ______, but not very much control over the types of products they might actually want. A) consumer choice B) enormous power C) freedom from thought D) great responsibility E) None of the options are correct.

A) consumer choice

People love television but do not like the ____________________, where programs only appear one time on non-portable screens. A) linear experience B) mobile experience C) Internet experience D) circular experience E) None of the options are correct.

A) linear experience

Which of the following best describes limited competition? A) A single firm that dominates an industry B) A market that has many producers and sellers, but only a few products C) A few firms that dominate an industry D) Customers that pay directly for media goods, such as a cable TV or a magazine subscription E) A company that is limited in the way it can compete with its rivals, as in case of price fixing

B) A market that has many producers and sellers, but only a few products

America has been accused of cultural imperialism for which of the following reasons? A) U.S. corporations own most of the world's mass media. B) The Pentagon dictates foreign policy in most foreign countries. C) American styles in fashion, food, and entertainment dominate the global markets. D) Baywatch was more popular overseas than it was in the United States. E) All of the options are correct.

C) American styles in fashion, food, and entertainment dominate the global markets.

How might diversification be used to skirt antitrust laws? A) Employing minorities tends to make regulators happy and reluctant to target companies. B) It gets local communities to issue licensed monopolies, such as is the case with many local cable companies that are often the only cable company allowed to operate in a local community. C) By buying up lots of different media products, a company can avoid the appearance of monopolizing any one product, yet still be large enough that it only really competes with a handful of other similar companies. D) A company avoids U.S. antitrust laws by buying up media companies around the world. E) None of the options are correct.

C) By buying up lots of different media products, a company can avoid the appearance of monopolizing any one product, yet still be large enough that it only really competes with a handful of other similar companies.

48. The acceptance of the dominant values in a culture by those who are subordinate to those who hold economic power describes ______. A) consolidation B) democracy C) hegemony D) specialization E) synergy

C) hegemony

According to your textbook, today's flexible media system, in which new products are constantly rushed to the marketplace, favors ______. A) workers who belong to labor unions B) individual entrepreneurs who can tailor a unique media product to meet a niche market C) large companies that can easily absorb losses incurred from failed products D) government-subsidized companies that don't have to be concerned with making a profit E) None of the options are correct.

C) large companies that can easily absorb losses incurred from failed products

Government deregulation and corporate strategy are leading to a mass media industry controlled by ______. A) hundreds of small companies B) monopolies C) oligopolies D) national conglomerates E) one single parent corporation

C) oligopolies

When a company uses its concert promotion department to put on a show, then advertises the concert on the company's billboards, gives away free tickets on radio stations owned by that company, and advertises on the company's television stations, this is an example of ______. A) consumer control B) the global marketplace C) synergy D) deregulation E) consolidation

C) synergy

Cultural imperialism is ______. A) a concept in journalism ethics that argues that journalists must know the culture they are reporting on B) the theory that globalization is good for media, since it makes media more culturally diverse C) the idea that large and powerful countries can dominate and even change the culture of smaller countries through media D) the argument that people are more affected by the media that is familiar to them E) the process of colonization of smaller and weaker countries by larger and more powerful countries

C) the idea that large and powerful countries can dominate and even change the culture of smaller countries through media

In the textbook, the term wage gap refers to ______. A) the growing difference in pay based on gender B) the downsizing of traditional newsrooms, with fewer reporters earning much higher salaries C) the rapidly growing difference in compensation between average wage earners and top corporate executives D) the gap between union salaries in the 1950s and the 2000s E) the shrinking gap in pay between hourly and salaried employees

C) the rapidly growing difference in compensation between average wage earners and top corporate executives