From the November 10 edition of Fox News' Your World:
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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.
August 26 marks Women's Equality Day, commemorating the passage of the 19th Amendment to the Constitution which gave women the right to vote. As President Obama emphasized in a proclamation marking the day, while there have been many advancements toward women's equality, "[t]here is still more work to do."
One year ago, New York City launched its bike share program to the chagrin of a Wall Street Journal editorial board member who claimed it was a "totalitarian" instrument of "aesthetic torture" that has "appalled" New Yorkers. However, the program has survived conservative attacks on it and proven immensely popular, with nearly 9 million rides in its first year.
Dorothy Rabinowitz, a member of Wall Street Journal's editorial board, made waves last year by railing against the launch of Citi Bike, New York City's bike share program. In a video op-ed on WSJ Live, Rabinowitz derided the "totalitarian"-backed program that has "begrimed" NYC neighborhoods, saying the city is "helpless" to the wishes of its "autocratic" mayor and the bike lobby.
Even after Rabinowitz' argument was mocked on both the Colbert Report and The Daily Show, Rabinowitz stuck to her vendetta, dubbing the bike racks "instruments of aesthetic torture," and her colleagues defended her. She is not alone among conservatives for displaying an irrational hatred of bicyclists. Soon afterward, Fox Business' Melissa Francis called the Citi Bike racks a "nuisance" and an "eyesore," putting it frankly: "I hate these bikes." But they have proven to be the exception rather than the rule.
Rabinowitz claimed that she represented "the majority of [NYC] citizens" who are equally "appalled" by the bike share program, but polling has shown the opposite with even the Wall Street Journal itself dubbing the bike share "popular." Before the program was launched, polls from Quinnipiac University's Polling Institute found that 74 percent of New Yorkers polled agreed the bike rental program was a "good idea." One month after its launch, the same institute found that only 20 percent were opposed to the program, with the majority of every "age, income party, gender and educational group" supporting the program:
Fox Business host Melissa Francis attempted to justify the gender wage gap by claiming that women fared better than men during the recession because they make less money, allowing them to hold onto their jobs.
President Obama marked Equal Pay Day on April 8 by signing two executive orders to help narrow the gender pay gap. Obama also urged the Senate to pass the Paycheck Fairness Act, which was eventually blocked by Senate Republicans on April 9. Currently, women make 77 cents for every dollar earned by men working full-time.
Francis appeared on the April 9 edition of Fox News' America's Newsroom to debate the President's push on the gender wage gap with Alan Colmes. During the discussion, Francis claimed that the reason more women than men were able to keep their jobs during and after the recession is because women make less money:
FRANCIS: I would also point out that men lost jobs at two and a half times the rate as women in this last recession. I know plenty of families where the man is now out of work and the woman is the one who's working full time. Probably because she makes a little less, so she was able to keep her job.
Fox News disingenuously blamed the Affordable Care Act (ACA) for a "coverage gap" that could leave 5 million low income Americans without health insurance. In doing so, Fox absolved the sins of the Republican governors whose refusal to expand Medicaid is responsible for the gap and will cost states money.
The ACA allows states to expand Medicaid programs to provide coverage for people whose income falls below 138 percent of the federal poverty level. Initially, the federal government covers the full cost of new enrollees for the first three years. However, many states have refused to expand their Medicaid coverage under the law, "thanks largely to hostility to the law among GOP governors," according to The Washington Post's Greg Sargent.
On the February 10 edition of Fox's America's News HQ, host Bill Hemmer condemned the coverage gap as "another problem growing out of Obamacare." Fox business host Melissa Francis explained that 5 million Americans fall into a gap where they earn too little for federal subsidies but too much for Medicaid benefits and argued that many states did not expand Medicaid benefits under the ACA because they can't afford it:
FRANCIS: The Kaiser Foundation studies this and they say there's about 5 million people between the ages of 18 and 64 who fall into this gap. And it all comes from that Supreme Court decision that said that we couldn't force states to expand Medicaid. Now places like Alabama where this one gentleman who is the example lives, they have said that they can't cover more people with their state program because they simply can't afford it. So that's how these people got left out in the middle but there is a lot of them, 5 million.
FRANCIS: The states, though, are pushing back and saying look, we didn't expand Medicaid because we can't afford it, and even though the federal government will pay for it for 3 years, after that it's on us and we just simply can't afford this. So it's going to be a really tough problem to fix.
Fox News responded to the announcement that CVS would no longer sell cigarettes by criticizing the pharmacy chain and leveling attacks at President Obama after he expressed support for the company's decision.
On February 5, CVS Caremark announced that it would stop selling cigarettes and other tobacco products at its pharmacy stores by the beginning of October. The move was met with praise from health organizations like the American Cancer Society and the Robert Wood Johnson Foundation, the nation's largest philanthropy dedicated to public health. President Obama also weighed in on the decision with a statement of support, saying it was a "profoundly positive" move and will help advance efforts "to reduce tobacco-related deaths, cancer, and heart disease, as well as bring down health care costs."
As if on cue, Fox News responded to Obama's praise by manufacturing a controversy over the CVS decision.
On Fox's The Real Story, host Gretchen Carlson approached the CVS decision with suspicion and a remarkably uninformed premise, asking, "Is it OK legally ... to restrict tobacco availability in a private store like this?" She questioned her guests as to whether they would continue shopping at CVS and observed that, "For people who smoke, you know, they have a right to buy cigarettes. It's not illegal."
Fox News has downright ignored the billions lost in productivity as a result of the government shutdown, which stands in stark contrast to the network's years-long attack on minimal waste and abuse in food assistance programs.
On October 16, the financial ratings agency Standard & Poor's released its estimate of the economic cost of the 16-day long shutdown of the federal government, concluding that it cost the American economy $24 billion in lost productivity. The agency also cut its forecast for economic growth in the upcoming fiscal quarter by at least 0.6 percentage points.
Since the shutdown was lifted on October 16, Fox News personalities have expended considerable effort downplaying the effect the shutdown had on the economy.
On October 16, Fox Business host Lou Dobbs cited a slight uptick on the Dow Jones industrial average throughout the shutdown as evidence that the nationwide closure of federal lands and agencies had a negligible economic effect. Fox Business' Melissa Francis made a similar argument, claiming that the shutdown had shown Americans they could live with "a lot smaller government." On the October 17 edition of The Five, Fox News host Eric Bolling questioned the validity of S&P, and other agencies, that report economic losses from the shutdown, baselessly suggesting that their reports are influenced by political factors.
Fox's continued denial of the ruinous economic effect of the government shutdown reveals the network's hypocritical and overzealous reporting on waste and abuse in federal anti-poverty programs.
In August, the United States Department of Agriculture (USDA), which administers the Supplemental Nutrition Assistance Program (SNAP), updated its figures for "trafficking," or when SNAP recipients sell their benefits for cash, in the program. Its data reveal a slight increase in trafficking rates from 1.0 percent in 2006-2008 to 1.3 percent in 2009-2011. The total value of trafficked benefits during the last three year period is estimated to be $858 million annually.
Rather than acknowledging that SNAP trafficking rates were still near historic lows, Fox misleadingly highlighted what it called a "30 percent" increase in abuse. Days previously, Fox dedicated another segment to attacking food assistance that included host Eric Bolling overestimating SNAP fraud and abuse rates by 5,000 percent.
The amount of yearly trafficking abuse in SNAP amounts to less than four percent of the wasted economic output caused by the government shutdown. In other words, the cost of the 16-day shutdown is nearly 28 times larger than a full year of food assistance abuse. While Fox has repeatedly claimed that waste in SNAP cannot be tolerated, the network has yet to acknowledge that waste from the shutdown even exists.
Of course, this should come as no surprise given the network's efforts to encourage the shutdown and resulting economic fallout. Fox News played a prominent role in encouraging and facilitating a partial government shutdown that cost the economy billions of dollars in lost productivity while producing zero policy gains for the Republican Party or its right-wing media champions. Fox has tried repeatedly to find scapegoats in the administration to shift blame away from allies in the House GOP caucus.
According to the USDA, "fluctuations in the number of SNAP participants in the last 16 years have broadly tracked major economic indicators." With the Republican-led shutdown effectively draining tens of billions of dollars out of the economy, SNAP registries are likely to increase in the near-term as the shutdown and lingering fiscal austerity drag down recovery.
If that happens, recipients of federal anti-poverty assistance can expect a resurgence of Fox attacks.
Despite numerous economic reports explaining the negative effects, Fox News personalities continue to downplay the effects of the ill-fated, Republican-led government shutdown.
From the October 16 special edition of Fox News' The Kelly File:
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Fox Business host Lou Dobbs downplayed the effects of the government shutdown on the U.S. economy, despite economic reports stating that the shutdown has taken $24 billion out of the economy.
Reporting on the October 16 edition of Lou Dobbs Tonight about the Senate leadership deal to end the government shutdown, Dobbs disputed White House Press Secretary Jay Carney's statement that "the economy has suffered" because of the shutdown, claiming, "The extent of just how much the economy suffered is questionable at best."
In fact, economists have reported that the government shutdown is projected to have significant negative effects on the economy. Business Insider reported that Standard & Poor's cut its "annualized U.S. growth view closer to 2% from 3%." The article added that S&P estimates "the shutdown has taken $24 billion out of the economy and cut 0.6% off of yearly fourth quarter GDP growth."
Fox Business host Melissa Francis erroneously claimed that previous government shutdowns in the 1990s did not harm the economy, a notion that is in direct opposition to economic evidence.
On the October 1 edition of Fox News' America's News HQ, host Bill Hemmer discussed the ongoing government shutdown with Francis. During the discussion, Francis chided President Obama for claiming that previous shutdowns in the 1990s harmed the economy, claiming that data show "that wasn't the case."
Francis' argument rested upon the fact that over earlier shutdowns, GDP growth remained relatively strong and stabilized at levels above pre-shutdown rates. The Daily Caller presented a similar argument in an article on September 29, claiming the "economy boomed" during previous shutdowns.
While Francis is correct that growth remained strong over the 1995 and 1996 shutdowns, this doesn't answer the question of what growth would have been like in absence of a shutdown.
According to Joel Prakken, senior managing director at Macroeconomic Advisers, those shutdowns shaved 0.25 percentage points off GDP growth for the end of 1995, mostly due to federal employee furloughs. Furthermore, the Office of Management and Budget estimated that the total cost to the federal government from those shutdowns at more than $2 billion in today's dollars.
While Francis is quick to dismiss that economic growth would be affected in the current shutdown, independent analysis shows this is not the case. According to Bloomberg:
Mark Zandi of Moody's Analytics Inc. estimates a three-to-four week shutdown would cut growth by 1.4 points. Zandi projects a 2.5 percent annualized pace of fourth-quarter growth without a shutdown. A two-week shutdown starting Oct. 1 could cut growth by 0.3 percentage point to a 2.3 percent rate, according to St. Louis-based Macroeconomic Advisers LLC.
Fox Business host Stuart Varney argued that the potential nomination of Federal Reserve Vice Chairwoman Janet Yellen to succeed Chairman Ben Bernanke would be based in part on her gender, making no mention of her aptitude or qualifications for the position.
On the September 26 edition of Fox Business' Varney & Co., host Stuart Varney was joined by Fox Business host Melissa Francis and Fox News contributor Juan Williams to discuss the current and continuing role of the Federal Reserve. The panel largely focused on the recently politicized nature of the nomination process and who is expected to replace Ben Bernanke as chairman. Varney ended the segment by arguing that the potential nomination of Janet Yellen as the next Fed chair would in part be driven by her gender.
VARNEY: Would you agree with me that the lady in question here, Janet Yellen, is a shoo-in to be the next Fed chair because she's female, she's academic, and it is assumed that she would keep on printing money. That conforms with everything that President Obama wants in a Fed chair. She's a shoo-in, agreed?
Varney's contention that gender would play a role in the nomination process reveals a troubling development in right-wing media. Rather than discussing Yellen's qualifications as an economist, her history of accurate econometric predictions, or her broad base of support among economists, conservative media instead focus their attention on Yellen's gender.
On September 18, the Institute for Women's Policy Research sent a letter to President Obama supporting Janet Yellen, signed by more than 500 economists from across the country. The signatures included several former White House economic policy officials and Nobel Prize-winning economist Joseph Stiglitz. Nobel Prize-winning economist Paul Krugman also expressed his support for Yellen's candidacy in The New York Times. From Krugman's article:
Janet Yellen, the vice chairwoman of the Fed's Board of Governors, isn't just up to the job; by any objective standard, she's the best-qualified person in America to take over when Ben Bernanke steps down as chairman.
Despite evidence to the contrary, Fox Business anchor Melissa Francis claimed on Fox's Your World With Neil Cavuto that federal student aid spurs universities to increase tuition and that going to a top-tier university isn't worth incurring the debt it entails.
On August 20, Cavuto asked, "The more aid you give, the more excuse [universities] can have to ratchet up the tuition, right?" Francis agreed, saying that "it just gets absorbed right into the price." Francis then said, "It's like any time you print money. It causes inflation." Later in the segment, Francis referenced a recent study by Demos to assert that student loan debt may be costlier than it seems, claiming, "Down the road that costs them $200,000 worth of wealth, because as you're paying off those loans that's money you're not investing in the market, that's a house you're not buying, that's money you're not putting in your 401k."
Cavuto and Francis cited growing federal student assistance as a reason for increasing tuition costs. The vast majority of studies, however, have held that growing federal aid is not responsible for increasing tuition rates. President Obama also recently signed a new law that lowers student loan interest rates and is embarking on a bus tour to call for more action on college affordability.
Francis also claimed that for some, vocational schools may be a better financial choice in the long run than universities, because the cost of the education is not as great. But Francis ignored the fact that, according to the Bureau of Labor Statistics, in most cases those with higher education will make more money and are less likely to be unemployed.
Similar claims about federal Pell Grants have been made by the Wall Street Journal, and Fox News has repeatedly attacked federal student aid by suggesting that enrollment in fictitious 'cheaper' colleges or forgoing college entirely are solutions for those struggling with the costs of college.
Media figures have repeatedly forwarded the notion that the United States is currently facing a debt crisis. However, leaders of both parties agree there is no immediate crisis, and by focusing attention too heavily on deficit and debt reduction, the media distract from the more imminent problem of growth and jobs.
Throughout news coverage of recent budget negotiations, media figures have consistently framed discussions around the notion that the country faces a debt crisis, an assertion that is often presented uncritically and accepted as an indisputable fact. Since discussions are predicated on the assumption that a debt crisis exists, ensuing analysis of budget proposals is often solely focused on how far they go in reducing short term deficits and debt.
While media are convinced that a debt crisis exists, leaders of both parties have made explicit statements to the contrary. In a March 12 interview with ABC's George Stephanopoulos, President Obama claimed that "we don't have an immediate crisis in terms of debt," a statement that was immediately criticized by conservative media. When asked if he agreed with Obama's statement regarding debt on the March 17 edition of ABC's This Week, House Speaker John Boehner (R-OH) conceded that there is no immediate crisis. Rep. Paul Ryan (R-WI) made a similar admission on CBS' Face the Nation, saying "we do not have a debt crisis right now."
Furthermore, the media's focus on a "debt crisis" has necessarily steered the debate about budgets toward how the parties will sufficiently address short term deficits. Economists, meanwhile, have repeatedly argued that undue focus on deficits and debt distracts from the more pressing need for economic growth and reduced unemployment.
The bipartisan admission that there is no immediate debt crisis provides media with an opportunity to reframe their budget negotiations coverage around economic growth.
Video by Alan Pyke.