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	<title>FAIR Blog &#187; Economy</title>
	<atom:link href="http://www.fair.org/blog/category/economy/feed/" rel="self" type="application/rss+xml" />
	<link>http://www.fair.org/blog</link>
	<description>The national media watch group</description>
	<lastBuildDate>Fri, 20 Nov 2009 20:32:15 +0000</lastBuildDate>
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		<title>David Brooks&#039; Special Suburbanites</title>
		<link>http://www.fair.org/blog/2009/11/06/david-brooks-special-suburbanites/</link>
		<comments>http://www.fair.org/blog/2009/11/06/david-brooks-special-suburbanites/#comments</comments>
		<pubDate>Fri, 06 Nov 2009 18:54:50 +0000</pubDate>
		<dc:creator>Peter Hart</dc:creator>
				<category><![CDATA[Economy]]></category>
		<category><![CDATA[Politics]]></category>
		<category><![CDATA[David Brooks]]></category>
		<category><![CDATA[New York Times]]></category>

		<guid isPermaLink="false">http://www.fair.org/blog/?p=13280</guid>
		<description><![CDATA[In his New York Times column, David Brooks cheers the rise of suburban independent voters in this week's midterms elections, crediting them with Republican victories in New Jersey and Virginia. Brooks has made a career out of singing the praises of suburban Americans, all the while suggesting that they are somewhat ignored. While liberals and conservatives have their [...]]]></description>
			<content:encoded><![CDATA[<p>In his<strong> New York Times</strong> <a href="http://www.nytimes.com/2009/11/06/opinion/06brooks.html?_r=1&amp;ref=opinion&amp;pagewanted=print">column</a>, David Brooks cheers the rise of suburban independent voters in this week's midterms elections, crediting them with Republican victories in New Jersey and Virginia. Brooks <a href="http://www.fair.org/index.php?page=3692">has made a career out </a>of singing the praises of suburban Americans, all the while suggesting that they are somewhat ignored. While liberals and conservatives have their own media machines and think tanks, Brooks writes:</p>
<blockquote><p>Independents, who are the largest group in the electorate, don't have any of this. They don't have institutional affiliations. They don't look to certain activist lobbies for guidance. There aren't many commentators who come from an independent perspective.</p></blockquote>
<p>If he's talking about centrists, it doesn't make much sense; actually, middle-of-the-road think tanks <a href="http://www.fair.org/index.php?page=3857">tend to dominate</a> the media discussion.  (Perhaps Brooks has heard of <a title="Extra!: Brookings: Stand-In for the Left" href="http://www.fair.org/index.php?page=1490" target="_self">Brookings</a>?) <!--preview-break--> But he tries to explain their significance this way:</p>
<blockquote><p>The first thing to say is that this recession has hit the new suburbs hardest, exactly where independents are likely to live. According to a survey by the National Center for Suburban Studies at Hofstra University, 76 percent of suburbanites say they or someone they know have lost a job in the past year.</p></blockquote>
<p>While that does sound suspiciously like a think tank catering to, well, those think tank-less independents, are those numbers very alarming? An Ipsos/<strong>Reuters</strong> survey from June <a href="http://blogs.reuters.com/macroscope/2009/06/03/global-poll-shows-most-worried-about-job-security/">found</a> that 80 percent of Americans knew someone who lost a job. A July Marist <a href="http://maristpoll.marist.edu/tag/jobs/">poll</a> on New York state residents found that "82 percent of city voters and 79 percent of those in the suburbs" knew someone who'd lost a job in the past six months. Maybe Brooks' suburbs aren't so special after all.</p>
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		<title>Bill O&#039;Reilly and Cuban-Style Tax Rates</title>
		<link>http://www.fair.org/blog/2009/11/06/bill-oreilly-and-cuban-style-tax-rates/</link>
		<comments>http://www.fair.org/blog/2009/11/06/bill-oreilly-and-cuban-style-tax-rates/#comments</comments>
		<pubDate>Fri, 06 Nov 2009 18:42:57 +0000</pubDate>
		<dc:creator>Peter Hart</dc:creator>
				<category><![CDATA[Economy]]></category>
		<category><![CDATA[Bill O'Reilly]]></category>
		<category><![CDATA[Fidel Castro]]></category>
		<category><![CDATA[Fox News]]></category>
		<category><![CDATA[Nancy Pelosi]]></category>

		<guid isPermaLink="false">http://www.fair.org/blog/?p=13282</guid>
		<description><![CDATA[Fox News host Bill O'Reilly, commenting on a tax increase in California:
That could happen on the federal level. Already Nancy Pelosi and her far-left crew want to raise the top federal tax rate to 45 percent. That's not capitalism. That's Fidel Castro stuff, confiscating wages that people honestly earn.
Setting aside the truth of the charge [...]]]></description>
			<content:encoded><![CDATA[<p><strong>Fox News</strong> host Bill O'Reilly, <a href=" http://www.foxnews.com/story/0,2933,572026,00.html">commenting</a> on a tax increase in California:</p>
<blockquote><p>That could happen on the federal level. Already Nancy Pelosi and her far-left crew want to raise the top federal tax rate to 45 percent. That's not capitalism. That's Fidel Castro stuff, confiscating wages that people honestly earn.</p></blockquote>
<p>Setting aside the truth of the charge against Pelosi, Fidel Castro <a href="http://www.taxpolicycenter.org/taxfacts/displayafact.cfm?Docid=213">must have been</a> the president of the United States in 1982-86, when the top rate was 50 percent. Or maybe all of the 1970s, when it was 70 percent. Or from 1950-63, when it was 91 percent.</p>
<p><a href="http://www.taxpolicycenter.org/taxfacts/displayafact.cfm?Docid=213"></a></p>
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		<slash:comments>13</slash:comments>
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		<title>The Election Lesson: Hoover Was Right!</title>
		<link>http://www.fair.org/blog/2009/11/06/the-election-lesson-hoover-was-right/</link>
		<comments>http://www.fair.org/blog/2009/11/06/the-election-lesson-hoover-was-right/#comments</comments>
		<pubDate>Fri, 06 Nov 2009 18:41:13 +0000</pubDate>
		<dc:creator>Jim Naureckas</dc:creator>
				<category><![CDATA[Economy]]></category>
		<category><![CDATA[Politics]]></category>
		<category><![CDATA[Michael Shear]]></category>
		<category><![CDATA[Paul Kane]]></category>
		<category><![CDATA[Washington Post]]></category>

		<guid isPermaLink="false">http://www.fair.org/blog/?p=13271</guid>
		<description><![CDATA[The Washington Post reported (11/5/09) that some Democrats are "questioning whether they should emphasize job creation over some of the more ambitious items on the president's agenda." A couple paragraphs later, reporters Michael Shear and Paul Kane elaborate:
Moderate and conservative Democrats took a clear signal from Tuesday's voting, warning that the results prove that independent [...]]]></description>
			<content:encoded><![CDATA[<p>The <strong>Washington Post</strong> reported (<a title="WP: For parties, the soul-searching begins" href="http://www.washingtonpost.com/wp-dyn/content/article/2009/11/04/AR2009110404833.html" target="_blank">11/5/09</a>) that some Democrats are "questioning whether they should emphasize job creation over some of the more ambitious items on the president's agenda." A couple paragraphs later, reporters Michael Shear and Paul Kane elaborate:</p>
<blockquote><p>Moderate and conservative Democrats took a clear signal from Tuesday's voting, warning that the results prove that independent voters are wary of Obama's far-reaching proposals and mounting spending, as well as the growing federal debt.</p></blockquote>
<p>The implication that  "job creation" is somehow at odds with "mounting spending" and "ambitious" or "far-reaching" government proposals is a another example of the <a title="FAIR Blog: Do 'Economists Say' Herbert Hoover Was Asked?" href="http://www.fair.org/blog/2008/10/24/do-economists-say-herbert-hoover-was-right-really/" target="_self">neo-Hooverism</a> that corporate reporters seem to <a title="FAIR Blog: Obama Misleads by Not Promising Austerity" href="http://www.fair.org/blog/2008/10/30/ap-obama-misleads-by-not-promising-austerity/" target="_blank">instinctively</a> <a title="FAIR Blog: WPost: Sacrifice for Sacrifice's Sake" href="http://www.fair.org/blog/2009/03/09/wpost-sacrifice-for-sacrifices-sake/" target="_blank">subscribe</a> to.  In reality, spending money is one of the basic tools governments have for creating jobs during a recession--and cutting government spending is one of the surest ways to make that recession deeper.</p>
<p>It's worth noting that none of the sources actually quoted in the article makes the case that cutting federal spending would be a good way of creating jobs.</p>
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		<title>New York Post vs. New York State</title>
		<link>http://www.fair.org/blog/2009/10/27/new-york-post-vs-new-york-state/</link>
		<comments>http://www.fair.org/blog/2009/10/27/new-york-post-vs-new-york-state/#comments</comments>
		<pubDate>Wed, 28 Oct 2009 02:41:18 +0000</pubDate>
		<dc:creator>Jim Naureckas</dc:creator>
				<category><![CDATA[Economy]]></category>

		<guid isPermaLink="false">http://www.fair.org/blog/?p=13226</guid>
		<description><![CDATA["Tax Refugees Staging Escape From New York," a New York Post headline declared yesterday (10/27/09). In an ordinary newspaper, you might take that as a signal that the story below was prepared to offer evidence that tax refugees were leaving New York--but the New York Post is no ordinary newspaper.
Instead, the piece by Andy Soltis (which [...]]]></description>
			<content:encoded><![CDATA[<p>"Tax Refugees Staging Escape From New York," a <strong>New York Post</strong> headline declared yesterday (<a title="NYP" href="http://www.nypost.com/p/news/local/tax_refugees_staging_escape_from_qb4pItQ71UXIc0i6cd3UpK" target="_blank">10/27/09</a>). In an ordinary newspaper, you might take that as a signal that the story below was prepared to offer evidence that tax refugees were leaving New York--but the <strong>New York Post</strong> is no ordinary newspaper.</p>
<p>Instead, the piece by Andy Soltis (which is likely getting extra attention thanks to link from the <strong>Drudge Report</strong> headlined "'RICH' NEW YORKERS FLEEING AT ALARMING RATE") describes a report by a branch of the right-wing Manhattan Institute that says that people moving from New York, and particularly from New York City, make more money than people moving to New York. Soltis writes:</p>
<blockquote><p>The average Manhattan taxpayer who left the state earned $93,264 a year. The average newcomer to Manhattan earned only $72,726.</p></blockquote>
<p>As an explanation for this phenomenon, the Manhattan Institute "blames the state's high cost of living and high taxes," according to the story.  People who make <em>less</em> money are moving to New York City because it costs so much to live there? That doesn't make a whole lot of sense. Here's an alternative explanation: People often move to the city at the beginning of their careers, and leave when they get enough money to buy a house in the suburbs or retire.  Maybe that would explain the fact that the top two states New Yorkers moved to, according to the story, were Florida and New Jersey. At any rate, I've just given you more evidence to substantiate my theory than the <strong>Post</strong> offered to back up its "tax refugees" headline.</p>
<p>But then, it's hard not to think that the conscious aim of this story was to bamboozle its readers. Look at the lead paragraphs:</p>
<blockquote><p>New Yorkers are fleeing the state and city in alarming numbers--and costing a fortune in lost tax dollars, a new study shows.</p>
<p>More than 1.5 million state residents left for other parts of the United States from 2000 to 2008, according to the report from the Empire Center for New York State Policy. It was the biggest out-of-state migration in the country.</p>
<p>The vast majority of the migrants, 1.1 million, were former residents of New York City--meaning one out of seven city taxpayers moved out.</p></blockquote>
<p>How many people reading that would suspect that the population of New York state  actually <a title="U.S. Census: New York Quick Facts" href="http://quickfacts.census.gov/qfd/states/36000.html" target="_blank"><em>grew</em></a> by about half a million people between 2000 and 2008--despite 1.5 million people "fleeing" the state?  Or that New York City <a title="U.S. Census: New York (city) Quick Facts" href="http://quickfacts.census.gov/qfd/states/36/3651000.html" target="_blank">gained</a> about 200,000 residents from 2000 to 2006 (the latest Census estimate)? Or, based on the Manhattan stats cited earlier, that the median household income of Manhattan actually <a title="U.S. Census: SAIPE" href="http://www.census.gov/cgi-bin/saipe/saipe.cgi" target="_blank">rose </a>20 percent from 2000 to 2007 (in <a title="U.S. Census: CPI Research Series" href="http://www.census.gov/hhes/www/income/income08/p60no236_appacpitable.pdf" target="_blank">2007 dollars</a>)?</p>
<p>For the <strong>New York Post</strong> reader, life is full of surprises.</p>
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		<title>More &#039;News&#039; from WaPo&#039;s &#039;Exciting Alternate Universe&#039;</title>
		<link>http://www.fair.org/blog/2009/09/20/more-news-from-wapos-exciting-alternate-universe/</link>
		<comments>http://www.fair.org/blog/2009/09/20/more-news-from-wapos-exciting-alternate-universe/#comments</comments>
		<pubDate>Sun, 20 Sep 2009 08:55:05 +0000</pubDate>
		<dc:creator>Gabriel Voiles</dc:creator>
				<category><![CDATA[Economy]]></category>
		<category><![CDATA[A Tiny Revolution]]></category>
		<category><![CDATA[bank bailout]]></category>
		<category><![CDATA[Bank of America]]></category>
		<category><![CDATA[BlackRock]]></category>
		<category><![CDATA[Jonathan Schwarz]]></category>
		<category><![CDATA[Merrill Lynch]]></category>
		<category><![CDATA[Washington Post]]></category>

		<guid isPermaLink="false">http://www.fair.org/blog/?p=12993</guid>
		<description><![CDATA[Under the headline "Washington Post Publishes More Information About Exciting Alternate Universe," A Tiny Revolution blogger Jonathan Schwarz (9/13/09) lets us know that, while "lots of banks had to get a bailout from the federal government," do "you know who didn't? The ultra-smart guys at BlackRock investment management, that's who"--at least according to the September [...]]]></description>
			<content:encoded><![CDATA[<p>Under the headline "<strong>Washington Post</strong> Publishes More Information About Exciting Alternate Universe," <strong>A Tiny Revolution</strong> blogger Jonathan Schwarz (<a href="http://www.tinyrevolution.com/mt/archives/003081.html" target="_blank">9/13/09</a>) lets us know that, while "lots of banks had to get a bailout from the federal government," do "you know who didn't? The ultra-smart guys at BlackRock investment management, that's who"--at least according to the <a href="http://www.washingtonpost.com/wp-dyn/content/article/2009/09/12/AR2009091202932.html" target="_blank">September 13</a> <strong>Post</strong>, which featured this passage:</p>
<blockquote><p>BlackRock emerged as one of their principal advisers as the agencies bailed out major companies and tried to put a price on their toxic assets. BlackRock is also managing tens of billions of dollars worth of AIG assets for the government. In August, officials selected the company to help arrange the purchase, partly using taxpayer money, of toxic assets from banks. Although BlackRock, which avoided the plague of toxic assets, has turned to Washington by choice, some firms have been forced to Washington.</p></blockquote>
<p>Schwarz's response can hardly contain his excitement:<br />
<!--preview-break--></p>
<blockquote><p>Impressive! Impressive work there by BlackRock! Let's stroll over to BlackRock's own <a href="http://www2.blackrock.com/global/home/AboutUs/index.htm" target="_blank">website</a>, so we can find out who owns them and extend our congratulations:</p>
<blockquote><p>Merrill Lynch &amp; Co., Inc., a wholly-owned subsidiary of Bank of America Corporation, and The PNC Financial Services Group, Inc. own approximately...47.4 percent and 31.5 percent of BlackRock’s capital stock...</p></blockquote>
<p><a href="http://bailout.propublica.org/main/list/index" target="_blank">Whoops!</a></p>
<blockquote><p><strong>Bailout Recipients</strong></p>
<p>Bank of America $45.0 billion<br />
Bank of America, NA $6.0 billion<br />
PNC Financial Services $7.6 billion</p></blockquote>
</blockquote>
<p>But Schwarz really feels "there's <a href="http://www.tinyrevolution.com/mt/archives/002205.html" target="_blank">no need</a> for the <strong>Washington Post</strong> to report on what's going on in <em>this</em> universe," since "it would only upset and <a href="http://www.fair.org/index.php?page=22&amp;media_view_id=9565">confuse</a> their readers."</p>
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		<title>Lauding &#039;Those Who Chose to Look&#039; at Economic Crisis</title>
		<link>http://www.fair.org/blog/2009/09/16/lauding-those-who-chose-to-look-at-economic-crisis/</link>
		<comments>http://www.fair.org/blog/2009/09/16/lauding-those-who-chose-to-look-at-economic-crisis/#comments</comments>
		<pubDate>Wed, 16 Sep 2009 20:22:11 +0000</pubDate>
		<dc:creator>Gabriel Voiles</dc:creator>
				<category><![CDATA[Economy]]></category>
		<category><![CDATA[Media Business]]></category>
		<category><![CDATA[Alyssa Katz]]></category>
		<category><![CDATA[CJR]]></category>
		<category><![CDATA[mortgage crisis]]></category>
		<category><![CDATA[Mother Jones]]></category>
		<category><![CDATA[Nation]]></category>
		<category><![CDATA[Southern Exposure]]></category>

		<guid isPermaLink="false">http://www.fair.org/blog/?p=12888</guid>
		<description><![CDATA[By now it's old news to any reasonably critical observer that corporate outlets' "business reporters failed to see the crisis in the mortgage and credit markets as it brewed and bubbled," as former City Limits editor Alyssa Katz puts it (CJR.org, 9/14/09), but Katz also gives props to others who noticed how "evidence of its [...]]]></description>
			<content:encoded><![CDATA[<p>By now it's <a href="http://www.fair.org/blog/2009/05/06/economic-misreporting-matches-iraq-war-failures/">old news</a> to any reasonably critical observer that corporate outlets' "business reporters <a href="http://www.cjr.org/cover_story/power_problem.php?page=all" target="_blank">failed</a> to see the crisis in the mortgage and credit markets as it brewed and bubbled," as former <strong><a href="http://www.fair.org/index.php?page=1709">City Limits</a></strong> editor Alyssa Katz puts it (<strong>CJR.org</strong>, <a href="http://www.cjr.org/the_audit/why_the_alt_media_beat_the_msm.php" target="_blank">9/14/09</a>), but Katz also gives props to others who noticed how "evidence of its unsustainability was plain to see for those who chose to look":</p>
<blockquote><p>The fact is, and as immodest as it may seem to say, <a href="http://www.fair.org/index.php?page=3327">independents</a> were repeatedly ahead of the curve on covering the mortgage and real estate bubble and in connecting the dots between vital elements of the bigger story—especially the links between predatory and lending and the metastasizing mortgage-backed securities market.<br />
<!--preview-break--><br />
In 2002, the <strong>Nation</strong> <a href="http://www.thenation.com/doc/20020715/murray2" target="_blank">warned</a> that the mortgage-backed securities market’s bottomless appetite for subprime mortgages was financing an epidemic of destructive lending. In 2003, <strong>Southern Exposure</strong> exhaustively <a href="http://www.affil.org/media/affil_news/in-the-news/mike-hudson---banking-on-misery" target="_blank">documented</a> Citigroup’s move into the mass production of high-interest loans designed to drain borrowers' meager wealth. In 2005, <strong>Mother Jones</strong> assigned me to <a href="http://www.motherjones.com/politics/2006/09/prime-suspect" target="_blank">find out</a> why the streets of Cleveland were lined with vacant houses. A reasonable question, and I found the answers on the Wall Street credit securities market. Indeed, all through this period, alt-weeklies told tales found in living rooms and legal services offices of homeowners who had believed a mortgage broker’s misleading sales pitch and wound up facing foreclosure.</p></blockquote>
<p>Examining "the fact" that "independent journalists exposed the dimensions of the problem with a depth and timeliness that mainstream news organizations simply and regrettably did not match," Katz thinks "it's not about being better journalists; it is about being tuned to a different audience and set of interests." Read FAIR's magazine <strong>Extra!:</strong> "Busted Bubble: The Press Fell Down on the Job on Housing Prices" (<a href="http://www.fair.org/index.php?page=3646">11–12/08</a>) by Veronica Cassidy.</p>
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