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Cultural and Other Barriers to Motion Pictures Trade
Authors:Akbar Marvasti  E. Ray Canterbery
Affiliation:Marvasti:;Professor of Economics, University of Houston–Downtown, Houston, TX 77002. Phone 1–713–221–8444, Fax 1–713–226–5238, E-mail Canterbery:;Professor Emeritus of Economics, Florida State University, Tallahassee, FL 32306. Phone 1–850–644–7209, Fax 1–850–668–6654, E-mail
Abstract:The global success of the American film industry facing rising costs of production, foreign protectionism, and liberal trade policies at home is an enigma. The basis for American dominance is found in market size and structure. In turn, market characteristics and microdata explain protectionist strategies—leading to a complex gravity-iceberg model of U.S. exports. Besides purchasing power and spatial distance, cultural variables as well as protectionist strategies are important influences on U.S. motion pictures trade. Competitors nonetheless fail to match the magical American combination of movie stars, economies of scale, and popularity of English speech.
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