NYT: Economic Scene
Lean Left? Lean Right? News Media May Take Their Cues From Customers
By AUSTAN GOOLSBEE
Published: December 7, 2006
....Any politician will tell you that sometimes what we call things is the most political decision of all. Political consultants like Frank Luntz, a Republican, have become legendary for their way of spinning language to partisan advantage: ”death tax” instead of “estate tax,” “war on terror” instead of “war in Iraq.” But most people expect spin from politicians. When they perceive partisan slant in the news itself, they typically interpret it as evidence of underlying bias by reporters or media owners.
But one of the most interesting things coming out of research on the economics of the media industry has been the notion that media slant may simply reflect business rather than politics.
New research by two University of Chicago economists, Matthew Gentzkow and Jesse M. Shapiro, entitled “What Drives Media Slant? Evidence From U.S. Daily Newspapers” (www.nber.org/papers/w12707.pdf) compiles some compelling and altogether unusual data to answer the question....
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The study...analyzed 417 newspapers in the United States (accounting for some 70 percent of total newspaper circulation) as if they were politicians. The researchers measured, for example, all the times in articles about Social Security that a newspaper referred to “personal accounts” (Republican) or to “private accounts” (Democratic). Their measure of partisan slant came only from the news coverage....(O)nce the authors had this measure, they showed that the main driver of any slant was the newspaper’s audience, not bias by the newspaper’s owner.
A comparison of circulation data (per capita) to the ratio of Republican to Democratic campaign contributions by ZIP code showed that circulation was strongly related to whether the newspaper matched the readers’ own ideology.....The authors calculated the ideal partisan slant for each paper, if all it cared about was getting readers, and they found that it looked almost precisely like the one for the actual newspaper. As Dr. Shapiro put it in an interview, “The data suggest that newspapers are targeting their political slant to their customers’ demand and choosing the amount of slant that will maximize their sales.”...
http://www.nytimes.com/2006/12/07/business/media/07scene.html?bl&ex=1165813200&en=104d1d193de53345&ei=5087%0A