Conservative media praised the failed theory of trickle-down economics in response to Hillary Clinton's remark that the middle class, not tax cuts for corporations, spurs economic growth, a position backed by economists.
From the October 27 edition of Fox News' Fox & Friends:
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Fox News misleadingly attributed a drop in McDonald's quarterly profits to widespread calls for a minimum wage increase, even though the company itself pointed to image problems as the major factor in the loss, not the minimum wage.
Fox Business host Maria Bartiromo appeared on the October 22 edition of Fox & Friends to discuss a 30 percent drop in McDonald's quarterly profits. Bartiromo and the hosts agreed that calls for a minimum wage increase caused profits to drop and forced McDonald's to turn to automation:
STEVE DOOCY: Meanwhile, McDonald's, the Golden Arches, reporting a 30 percent drop in corporate profits.
BRIAN KILMEADE: Why? Well, it turns out workers' wages might be to blame.
BARTIROMO: Well, the issue really is, this is the implication of raising the minimum wage for certain companies. I mean, something's got to give. The money comes from somewhere. At some point, a company will say, "OK, we have a higher expense rate because we are raising the minimum wage we've got to do something somewhere else." In this case, they are going to automation. They are changing certain jobs to computers.
AINSLEY EARHARDT: So it's really biting them in the tail. They were complaining, saying "we want more money," and as a result, McDonald's saying,"Hey, we're going to lose some of you guys, and we're going to replace you with machines.
Fox & Friends offered no evidence to connect calls for a minimum wage increase and the profit loss. In fact, McDonald's CEO Don Thompson "owned up to some corporate image problems" as an explanation for the drop in profits, according to Reuters. The AP also detailed the fast-food company's image problems:
One of its biggest challenges in the U.S. is long-held perceptions around the freshness and quality of its ingredients. The chain has been fighting to boost sales as people gravitate toward foods they feel are more wholesome. As a result, people have been gravitating to places like Chipotle, which markets its ingredients as being of superior quality.
The Fox hosts also left out another important detail -- earlier this year, Thompson announced McDonald's would "support legislation that moves forward" on a minimum wage increase:
McDonald's Chief Executive Don Thompson told students at Northwestern University's Kellogg School of Management that it could handle a theoretical bump in the minimum wage to, say, $10.10 an hour, the figure supported by President Barack Obama and others.
"McDonald's will be fine," Thompson said in the May 12 discussion. "We'll manage through whatever the additional cost implications are."
Fox News Sunday and Fox's Sunday Morning Futures misleadingly suggested there weren't enough young and healthy Americans enrolled in health insurance under the Affordable Care Act. But experts have explained that there were already enough young enrollees to help keep health care costs down in the days before the final deadline for enrollment, and that young adults were more likely to sign up for insurance at the last minute.
Reports indicate that CNBC business anchor Maria Bartiromo will soon move to the Fox Business Network to host a weekday market hours program. Judging by Bartiromo's past comments, the host will find a welcome home at Fox.
On November 18, multiple news outlets reported that Bartiromo, currently the anchor of CNBC's Closing Bell, intends to leave her current position to take a job at Fox Business. According to USA Today, Bartiromo will also report for Fox News.
A March 2010 profile of Bartiromo in New York magazine described her as "empathetic to Big Business" and noted the criticism she's taken for being "too cozy" with the people she covers as a journalist. Bartiromo dismissed her critics as jealous: "Anybody who has been very successful is sort of, you know, in the crosshairs."
Indeed, Bartiromo has gone to great lengths to protect the interests of businesses, even advancing borderline conspiracy theories about the Obama administration and government regulatory agencies.
In 2011, Bartiromo repeatedly argued that the National Labor Relations Board (NLRB) should not have intervened when Boeing was accused of anti-labor practices, going so far as to claim that the only reason NLRB filed suit against the company was because Boeing's jobs are non-union. In late 2012 when Citigroup CEO Vikram Pandit unexpectedly resigned, Bartiromo asserted that is was because he was "[g]etting bashed and bashed and bashed again by the President, by the populists." And of course, there is Bartiromo's recent staunch defense of JPMorgan Chase CEO Jamie Dimon, despite the fact that Dimon headed the investment bank when it was involved in allegedly fraudulent deals in the mortgage security market just before the financial crisis.
Bartiromo's soft approach to business interests is exactly what will make the host successful at Fox. The network regularly accuses the federal government of committing "shakedowns" whenever big business interests are held accountable for misconduct, even when there is mounting evidence of wrongdoing. Similar to Bartiromo's assertion that Pandit resigned because of pressure from the Obama administration, Fox Business' Stuart Varney claimed that when Standard & Poor's Devan Sharma stepped down as president in 2011 it was because the Obama administration was exacting revenge for S&P's downgrade of the U.S. credit rating.
Bartiromo's defense of big business is not the only reason she'll fit in at Fox -- she's also well-practiced in false, conservative attacks on President Obama. In October 2012, she suggested that the reason President Obama did not refer to the September 2012 attacks in Benghazi, Libya as "terrorism" -- a well-worn falsehood -- was because he may have been trying to garner support for cuts to military spending. The attacks in Benghazi, of course, have become fodder for Fox to advance baseless conspiracy theories and attacks on the Obama administration and former Secretary of State Hillary Clinton.
Given that Bartiromo's past comments fit into Fox's pro-business anti-government narrative, it is no wonder that the network would take her on board.
(Image via Financial Times via Creative Commons License)
During an interview with House Democratic Leader Nancy Pelosi, CNBC's Maria Bartiromo whitewashed Boeing's alleged discrimination against union workers and suggested that the National Labor Relations Board should not intervene when companies violate the law to intimidate union workers. Right-wing media have repeatedly distorted the facts about NLRB's complaint against Boeing, including wrongly asserting that the NLRB brought suit against Boeing "because the jobs are non-union."
From the November 12 edition of MSNBC's Morning Joe:
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Maria Bartiromo falsely asserted as fact that the health care reform proposal under consideration in Congress will cost a "trillion dollars over 10 years." In fact, the Congressional Budget Office found that the House reform bill "would result in a net increase in the federal budget deficit of $239 billion over the 2010-2019 period."
From the July 27 edition of MSNBC's Morning Joe:
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Joe Scarborough and Maria Bartiromo falsely claimed that the Obama administration is predicting that the economy will grow at a rate of 4 percent in 2010 and, Scarborough added, "over the next decade." In fact, the administration predicted a 3.2 percent growth rate in 2010 and 2.6 percent from 2015 through 2019.
Following the release of President Obama's proposal for the fiscal year 2010 budget, media figures and outlets have promoted a number of myths and falsehoods related to the proposal.
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CNBC's Joe Kernen falsely claimed that President Obama "promised ... no more earmarks," while colleague Maria Bartiromo similarly asserted that "during the campaign, [Obama] said he would eliminate" earmarks. In fact, Obama promised to reform the earmark process and cut wasteful spending, not eliminate earmarks altogether.
In claiming that "small businesses ... are putting $250,000 in revenue out there, and they're going to get impacted" under President Obama's proposal to let the Bush tax cuts on wealthy taxpayers expire, CNBC's Maria Bartiromo falsely suggested that Obama has proposed taxing small business revenue. In fact, Obama has proposed raising marginal income tax rates and reducing income tax deductions for individuals earning more than $200,000 per year and for couples earning more than $250,000 per year.
The New York Post reported CNBC host Maria Bartiromo's assertion that Sen. Barack Obama would "take the capital gains tax at 15 percent right now all the way up to 25 to 28 percent." The Post further quoted Bartiromo: "Sell anything, like a home or stocks, and make a profit ... [almost] 30 percent of the profit will go to the government instead of 15' " [brackets in original]. But Bartiromo's suggestion that the entire profit on the sale of a house is always subject to tax is false; single homeowners can exempt up to $250,000 in gains realized from the sale of an owner-occupied home from capital gains taxes, and married homeowners can in most cases exempt up to $500,000. Politico's Mike Allen uncritically reprinted the Post report of Bartiromo's comments in its entirety.