What I really can't understand, that permeates this whole discussion, is plenty of people that try to sell the idea that ads let us have content "for free", and that all we have to tolerate is "a little annoyance". It's insane. If companies are buying ad-space, it's because they expect to get more business in return. This means that someone out there is being influenced by said ads, so that if the content cost X to p…
Your logic is flawed. Advertisers advertise to increase their share of the whole economy. Every single person could spend exactly the same amount of money and even on exactly the same kind of things as before and advertising would still make sense . I am not denying, that due to advertising we shift our buying habbits. But advertising is born out of competition , it is to take a share of the spending power of people…
> if these costs are being borne evenly, then it's complete societal waste.
that is exactly what is happening. Advertising is the classical real world example for the prisoners dilemma. It is literally the reason, why game theory exists. Every company can chose to advertise (defect) or not advertise (cooperate). If no one advertises, everyone is better off. But that is not a stable equilibrium, so instead everyone is advertising, even though it incurs some cost on social wellfare.