Challenging Economic Journalism : Covering Business and Politics in an Age of Uncertainty

This book, inspired partly by journalism's failure to raise early warning flags in the run up to financial crises and by the rise of (economic) populism in recent years, puts forward a framework for economic journalism. It argues that that independent quality economic journalism is essential to the functioning of both the market and democracy but is under threat, and explores questions raised by the decline of media trust: what is the value of economic journalism? And how can journalists change their practices to counter this decline? The book takes a global approach with one chapter focusing on European integration and concludes with an outlook on the future of economic journalism, and the financing of journalism more widely. Contents About the Author List of Figures List of Tables Chapter 1: The Loss of Certainty: Journalism vs. the Economy 1.1 On Truth, Reality and Bullshit 1.2 Of Minds and Markets 1.3 Problems, Priorities and Uncertainty 1.4 Overview of the Book References Chapter 2: Peculiar Products: The Business of Economic News 2.1 An Executive Must-Have: The Evolution of News Newspapers in the Dutch Golden Age England and the Continent Branching Out from Business 2.2 Why Bother? Properties of News as a Product Positive Externalities Cognitive Disadvantages Asymmetric Information Economies of Scale (and Scope) Digitalization and Its Discontents 2.3 Business First, Politics Fast: On the Economics of Economic News A Taxonomy of Economic Journalism Market Size and Readers’ Motivations Bundling and Competition Laws “Alternative” News Media 2.4 Solutions: Tackling Quality Uncertainty and the Erosion of Trust Branding Media Accountability Professionalization and Licensing Practices 2.5 Conclusion Notes References Chapter 3: Good, Bad or Ugly: On the Quality of Economic Journalism 3.1 Basic Quality Requirements 3.2 The Challenge of De-materialization: The Complex Nature of the Economy Intangibles Complex Trade-Offs News Values Attention Cycles Agenda Setting 3.3 The Challenge of Forward-Orientation: Economic Journalism’s Watchdog Role Risks and Side-Effects The Financial Crisis and the Euro Crisis 3.4 The Challenge of Voice: Why Not All Interests Are Equally Loud Rent Seeking Collective Action Agenda Setting and Social Media 3.5 Who’s Got the Power? Independence Versus Influence Independence Hierarchies of Influences “Radical” Critique Transparency and Accountability Independent Framing and Editorial Leaning 3.6 The ESSF Formula: News Values for Economic Journalism Values and Conflicts 3.7 Conclusion Notes References Chapter 4: Making Sense: Narratives, Journalism and the Economy 4.1 Infectious Stories and Their Effects: Narrative Economics 4.2 Beliefs and Convictions: Types of Social Narratives Dominant vs. Hegemonic Narratives Meta-Narratives Economic Policy Narratives Corporate Narratives 4.3 Gauging the Future: Narratives and Expectations “Radical Uncertainty” “Rational Expectations” as Narrative-Based Social Conventions 4.4 Blind Spots and Fads: The Problems with Narratives Outdated Facts Narrow Vision False Causation Intriguing Persuasion 4.5 Getting Real: Narratives and Journalism Narrative Formation—Bottom-Up, Top-Down, or Mediated? Journalists as Narrative Economists 4.6 Leaning Against the Wind: Journalism Versus Common Beliefs Reining in Exuberance Escaping Depression 4.7 Conclusion Notes References Chapter 5: Media Coverage and Animal Spirits: The Interplay Between Economic Journalism and the Economy 5.1 Sphinx and Spectres: Central Bankers as Storytellers 5.2 Of Money, Words and the Media: Journalistic Content as a Source of Data A Brief Review of the Literature Economists’ Hubris 5.3 Humans in the Loop: Measuring the News Leading and Following Media Composing a Corpus The Mainstream and the Edges “Distant Reading” 5.4 Riding the Trend: Are Narratives Quantifiable? Limited Progress, Failed Attempts Modelling Collective Memory The Uncertainty Perception Indicator (UPI) The Inflation Perception Indicator (IPI) 5.5 Conclusion Notes References Chapter 6: Here, There and Everywhere: Economic Globalization and National Media 6.1 Of Flows, Stereotypes, and Domestication: A Brief Review of the Literature News Flows Domestication Stereotyping 6.2 Globalization in Retreat: Two Case Studies Covering China Covering the World Trade Organization (WTO) 6.3 Populists vs. “Globalists”: A Tale of Two Media Spheres Globalization as a Populist Issue An Emerging Global Business Media Sphere 6.4 The Perils of Ignorance: Some Normative Considerations GDP and Beyond The ESSF Formula Revisited Ignoring the Right Stuff 6.5 Conclusion Notes References Chapter 7: The Case of Europe: A Common Currency Without a Common Public Sphere 7.1 The State of the European Union: Some Basics Questions of Identity Money and Democracy No Redistribution Without Representation 7.2 Missing Links: The Debate About a European Public Sphere Dimensions of Europeanization The Euro Crisis in the Press Framing Draghi Reforming Europe 7.3 Anything But ESSF? Missing Public Scrutiny of EU Transfers Economics: Findings on Cohesion Policy Media Coverage of Cohesion Policies 7.4 Splitting Up Is Too Hard to Do: Some Normative Considerations 7.5 Conclusion Notes References Chapter 8: From Gate Keeping to Scouting: the Changing Role of Journalism 8.1 Uncharted Landscapes: Media and Politics After the Digital Revolution 8.2 Is Journalism Dispensable? The Unique Role of Independent Reporting 8.3 Attention Deficits: Altered Working Conditions 8.4 Credibility on the Line: Journalism as a Profession 8.5 Knowhow vs. Knowledge: Some Thoughts on Journalism Education 8.6 Conclusion References Chapter 9: What to Cover: Topic Selection and Research 9.1 Pressing Questions: Editorial Routines and Information Seeking Routines: From the Idea to the Printing Press Research as a Precondition for Journalistic Independence Seven Stages of Research Sources Personal Networks 9.2 Shouting at the Wolves: Where Ideas Come From News Values Revisited Issue Attention Cycles New Data and Their Interpretations Challenging Narratives Consonance Other Strategies 9.3 People, Power, Gas, and Cash: Four Long-Term Trends to Watch Demographics Geopolitics and Globalization Climate Change and Energy The Future of Money 9.4 Conclusion Notes References Chapter 10: What’s at Stake: An Outlook for Economic Journalism 10.1 A Scenario for the Not-So Distant Future 10.2 The Rise of Western Oligarchs 10.3 Economic News as Market Failure 10.4 A Public-Service Supply of Economic and Business News? Journalism Can’t Go It Alone Notes References References Index