FOR IMMEDIATE RELEASE:  April 3, 1987

         FTC CHAIRMAN OLIVER OPPOSES CENSORSHIP OF ADS,
     SAYS GOVERNMENT SHOULD NOT REGULATE INDIVIDUAL CHOICE

     Federal Trade Commission Chairman Daniel Oliver today
denounced government censorship of advertising, telling a House
subcommittee, "The government should not practice social
engineering through censorship."
     Chairman Oliver told the House Transportation, Tourism and
Hazardous Materials Subcommittee that he opposed attempts to
deprive citizens of information necessary to make their own
decisions.  Informed choice is the essence of our economic and
political systems, and "advertising is a fundamental part of the
process by which consumers become informed," he said.
     The trend to legislate bans on advertising is a means to
achieve an array of social objectives, Mr. Oliver said.  But, he
added, the issue is very clear:  "should Americans remain free to
make individual choices, or should the government employ
"
     In fact, the Chairman said, the "true irony" of these
proposals is that their proponents "are guilty of exactly what
they accuse the advertisers of:  trying to manipulate the wants
and desires of individuals."
     Addressing a proposal to ban tobacco advertising, Chairman
Oliver said there was little evidence that it would decrease
consumption.  "Almost all of the large number of studies of
cigarette advertising have found changes in total advertising
expenditures to have little or no effect on changes in total con
sumption," he said.
     Chairman Oliver said that it would undoubtedly be illegal
under the antitrust laws for the cigarette manufacturers to agree
to stop advertising their products.  "Why would the antitrust
laws, which are supposed to protect consumers, prohibit what
"  Because bans on ads close off
new product innovations, exclude competitors, and generally do
not serve the interests of consumers, Mr. Oliver said.
     "We should oppose efforts to place the government in the
position of seeking to regulate the choices of individuals by
controlling what they read and see," the Chairman said.
     Copies of the speech are available from the FTC's Public
Reference Branch, Room 130, 6th St. and Pennsylvania Ave. N.W.,
Washington, D.C. 20580; 202-326-2222; TTY 202-326-2502.

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