Paywalls

Over the past two decades, local newspapers have overwhelmingly adopted subscription paywalls, restricting access to those willing and able to pay. Combining hand-collected paywall data for the universe of U.S. daily newspapers with household-level web-browsing data, we document the distributional consequences of this transition for news consumption, political behavior, and civic knowledge. Paywalls reduce local readership and skew the remaining audience wealthier. Rather than seeking out alternative sources of area news, displaced readers substitute toward national outlets, which lean more liberal than local papers. This reallocation drives voters leftward and reduces local knowledge, with the largest effects among low-income households.