Does The Media Help To Accelerate Rises And Falls In The Economy?
The last few months has seen the coming together of a very interesting argument about the media and the role which they play in the rise and fall of the worldwide and UK economy. The main crux of the argument has been the credit crunch in the US which received worldwide coverage when initial signs were that the government would address the issues very quickly.
However, as it happened the situation was very much worse that anyone had ever predicted and very soon the press began filling with doomsday scenarios, the Federal Bank with nowhere to turn and worldwide markets collapsing around our feet. While the situation is difficult and will probably get worse in the short term, what part have the media played in all of this?
Scare story headlines catch the eye but they can also undermine confidence in both the economy and the financial sector. This in turn saw situations such as the Northern Rock multiply overnight and move from a slight concern about the bank to mass panic. The media has the power to move markets although not all journalists seem to respect the power they have, often scaring the public into submission.
Share this..
Related stories
Number of homes for sale drops to seven year low
20/01/2014 The number of properties on the market in the UK has dropped to the lowest level since the recession ended, as prices continue to rise. February 2007 was the last time fewer homes were for sale, with an average of 58 available per estate agency in January, compared to 64 in the same period a year ago, according to Rightmove. House sales rose steadily throughout 2013 as people...
Read MoreUS backlash over freed Lockerbie bomber
There is a growing backlash against the Scottish government after the announcement that the Lockerbie bomb was free to go home to Libya on compassionate grounds. The Scottish Executive was effectively forced into a corner with allegations that the UK government had already "done a deal" with the Libyan authorities for the return of the bomber.
However, despite taking to the current...
Telephone scams see massive increase
02/12/2014 The amount of money fraudsters have gained by using telephone scams has risen to £23.9 million, three times as much as it was last year. Financial Fraud action has released a report, which showed a significant rise in the number of consumers who have been targeted by phone scammers over the last year. Now, an estimated 58% of people have received suspect calls, compared to 41% l...
Read MoreHow can the economy grow with pay cuts on the way?
There is a growing fear about the state of the UK economy and the prospects 2010 with more and more companies stepping forward to confirm that they will either introduce pay freezes and/or job cuts over the next 12 months. Against this background, it is more and more difficult to see how the UK economy can improve in the short to medium term with taxation set to increase and disposable income set...
Read MoreWhy Was The UK So Unprepared For The Economic Downturn?
After one of the longest periods of sustained growth in the UK economy for some time, voters are starting to ask why the country was so ill prepared for the downturn and exactly what is happening. Surely the boom years allowed enough money to be stored away for the lean times? Surely governments have learnt their lessons from the past?
The truth is that the Labour government were v...