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Generic Confusion

When you leave, my blog just fades to grey
Nu ma nu ma iei, nu ma nu ma nu ma iei

News? Check. Politics? Check. Music? Check. Random thoughts about life? Check. Readership? Ummm.... let me get back to you on that. Updated when I feel like I have something to say, and remember to post it.

Tuesday, May 03, 2005

Why does the economy sound bad, on paper?

BizzyBlog chronicles something that's blisteringly obvious, the bias seen in journalists reporting on the economy. He posts an article he wrote in 2000, chronicling the evolution of business journalism from businessmen reporting on business to liberal journalists without business backgrounds doing the reporting.

I wasn't paying any attention to the news back in the early 80's, but his analysis is solid. I'd like to throw out one opposing point for consideration: economic news is reported like all news, when it is news.

While the economy is remarkably better than it was in 1979, the news is how it has changed recently. Tell someone in 1989 that the Dow Jones Industrial Average will be hovering around 10,000 today, and they would consider that incredible news! However, it's reported as a sign of a struggling economy, since it's worse than in recent years. Consumer confidence is down, compared to people spending according to their inflated stock market holdings. The unemployment rating, though improved, is still higher than that at the peak of the bubble economy.

Now, the next Democrat president will be the test. We probably won't see the highs of a bubble economy nor the lows of Carter-esque malaise, so let's see if the economy is reported on in a consistent manner.


At 2:37 AM, Blogger bizzyblog said...

Here I thought your traffic was due to my lively post on MSM biz bias. Now the secret's out. Dance tracks......

Good observation that a change of some kind is what generates news.


Tom Blumer

PS. You're blogrolled. I assume this dance track thing isn't contagious. :-)

At 5:51 PM, Blogger honestpartisan said...

What do you think about this article, from a pretty conservative magazine? http://www.economist.com/agenda/displayStory.cfm?story_id=3930626

By the way, are you talking about economic reporting, or business reporting? By that I mean macroeconomic reporting, about the unemployment rate, or the general mood, or reporting on the goings-on of businesses? Because it seems to me that business reporting, like the kind you find at Business Week or the business section of the New York Times is fairly nonideological reporting on decisions businesses are making with the idea in mind of providing information to the general (investing) public.

At 9:06 PM, Blogger bizzyblog said...

to honestpartisan:

I would say, yes, it's more about macro reporting. A brief scan (so I could have missed something) shows that the Economist's piece managed to ignore the things that Kudlow cites and has an air of "it's not trouble yet, but it's coming."

I don't think characterizing the Economist as conservative is accurate. It's not that liberal, but leans in that direction a bit, IMHO.

At 11:29 PM, Blogger Greg said...


All shall bow to the Numa Numa!

Had this blog been started years ago, I would surely have blogged about Asereje, the Macarena, Cotton Eye Joe, and Saturday Night.


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