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ETHICS MONITOR
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to 5,ensure at <vdn@sympatico.ca>.
that development statistics often have uncritical free rein in the media.
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Communicating Ethics
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physics,
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The
problem still no estimate
reliability
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glob- tistics issued by government departments
lished statistics? Objective discussion of the reliability of sta- is rarely found in error statistics
in economic oftenobservations
have uncritical free rein in Economic
is substantial... the media.sta-
cation. A common element in their industry codes is support Gender-Based Board Diversity
ntly
pe. for The Media & Government
the mass media, despite the concerns of some economists that
sucha free press.areThis
statistics often means not only open reporting of social
unreliable.
In a recent article, The Problem of Accuracy of Economic
Data, Philipp Comment,
Bagus states, By“We Susan face Nickbarg
the question of why the
issues, but also candor considerabout theirConsumer
own business. Whileorcom-
ro-
c panies Statistics
For example,
in the printing
CPI. According to Johnand
the U.S.
publishing
Williams, a New andJersey
Price Index
telephone
consulting sectors
problem of accuracy of economic 73 data is rarely mentioned or
passed over in silence in economics [and in the media too],
scored 78% and 70% respectively
economist who has specialized in government statistics for on The Monitor Candor New Improved Media
while in the physical sciences this problem is widely acknowl-
tely is Quotient
several Comment,
decades, Bycompanies
(see p.“Inflation,
72), Ron Robins
as reported in thebyother sectors
the [U.S. answered
Bureau of edged... In contrast Comment, to physics, By Gary there isCorbett
still no estimate of sta-
only
Laborfrom half toConsumer
Statistics’] two thirdsPrice of our Indexquestions.
is understated by tistical error within economics. 74 The various sources of error
is no roughly W
Worse 2.7% still, few
permedia
hy doesn’t year... subscribe
the mediadue tocritically to anyredefinitions
recent formalgovernment-pub-
assess ethicsofcode.the that come into play in the social sciences suggest that the
Good News/Bad Science
the Absent assuch
serieslished aascommitment,
wellstatistics?
to flawed media
methodologies,
Objective claims to
discussion ofprofessionalism
particularly adjust-of
the reliability seem
sta- error in economic observations is substantial... Economic sta-
ll too self-serving.
ments to price Realmeasures
professions, like medicine
for quality changes.” and As engineering,
a result of tistics cannot Comment,be accepted ByatVincent
face value.” di Norcia We a
monitor
understating and police
inflation,member the U.S. compliance
government of theircancodes.
more Some easily 75
Recently, while researching detailed notes on the U.S. porat
or sell its ethics
media bondscodes and holdcall on interest
editorsrates andlow for business
journalists to censureand con-col- unemployment rate, given as 4.6% for September 2006, in a To
com- sumer borrowing.
leagues if they violate Such a result as
journalistic this would
standards. This behas
a clear politi-
happened, The Media & Government Statistics
separate document, I found that the actual number had a cause
e cal goal.
but rarely,Inand fact, the person
usually only after heading the US Bureau
the problem, such as of Labor
faked 90% probability Comment,
of being anywhere By Ronfrom Robins around 4.4% to by go
rs Statistics ishas
reporting, a political
become an appointee.
open scandal. Editors and journalists are 4.8%. So, when we hear that 76the unemployment rate falls sons.
com- So bias
in fact in presenting
notorious for refusing statistics for political
to correct mistakes, gains
until cannot
pushed, be from say 4.8% to 4.6% over several months, we can not be one w
overlooked. Mr. Williams may be right
and even then they give little space to corrections, in contrast to or wrong in his analy- The Point of Good
sure that unemployment is really falling. So why is this type per sh
to sis, but my point is that journalists
the erroneous headline story that prompted the correction. When and the media generally Corporate Governance
of information not in their ‘Employment Situation Summary’ often
hic fail to comment, as he does, upon
people challenge the accuracy, balance, impartiality of reporting,the reliability of govern- press release? Comment,Even private Bypolling
Randall firms K.provide
Morckupfront ally h
ibili- ment statistics. Why is this the case?
journalist freebies, or hidden interest conflicts, media representa- details of sampling errors. The non-reporting of important tactle
ropa- Jeff Sanford, a staff columnist at Canadian Business, blames
77
background information by government statistical depart- comm
tives tend to respond defensively and complain that freedom of
alse- many journalists, who “are not that literate in basic math and
the press is being threatened. ments goes someFdistance E A T U Rin E explaining
C O L U M Nwhy S journalists and nance

n.
statistical skills... and are not even aware of some of the biases
One often detects a lack of balance in reporting public issues,
that can be (found) in statistics.” Jonathon Chevreau, a
Giving and the Culture of
the media do not critique the reliability of such data.
Even Statistics Canada does not include any discussion of
This
essari
ject,
as in the U.S. right wing media treatment of liberals and democ-
columnist at the Financial Post, notes that criticism of statis- Right Reasons
error or degrees of confidence in their major economic press No
rats, and mainstream
depends ontreatment of social democrats
or space and environ- HorizonScan,
habit tics often the amount of time the jour- releases, such as the Labour By Force David
SurveyNitkin and GDP reports. are sm
mentalists. In fact one can easily find an ideological bias against
t is nalist has to work with. “[Journalists] would rather go with They are sometimes provided, 79but usually buried in detailed share
d government – which wasthan
interesting information admittedwasting openly by as great
a sentence an editor as
explaining notes under separate documents. neces
treat- Ben Bradlee himself. This underlies
how the methodology [of the statistic] actually happens.” the commonly hypercritical Backdating Stock Options
Most people watch, read or listen only to the mass media. nume
and and unfair treatment
Christopher Waddell,ofAssociate people inDirector public office, of theoften
Carleton for petty If inaccurateMediaScan, statistical information By David Oliveon to us by the
is passed less m
h offences.
University The consequence
School of Journalism, is that many in Ottawa, good offers
peopleanother
will not mass media, and people do 79 not consult any other sources for coun
even let their“The
perspective. namebiggest
stand for office. with statistics and journal-
problem verification, then bad decisions are more likely to be made. If coun
ismComplex
is that too political,
often numberseconomic areandusedenvironmental
without the context stories are news over good.
business believes More theplayjobismarket
given to a politician’s
is growing when personal
it may not share
ve on misleadingly framed as simplistic,
surrounding them.” In particular, “Television reporters have black/white situations. foibles, partisan squabbles and
be, unnecessary business investment and decliningscandals than to the achievements
profits may insid
Similarly,
difficulty with multi-sided
statisticsstakeholder
because they views, for instance
are difficult on abor-
to present... of governments
result. Government in termsstatistics
of bills passed
play anand programs
important roleimple-
in busi- Ce
ing tion and to
it’s hard euthanasia
listen to, or (asshowin thea TerrybunchSchiavo case),and
of statistics, aremake reduced mented. ness and Thatfinancial
is deemed boring. Journalists
decisions. On the contrary, and thesensational
media per- is mo
urned, sense
to of them.”
two-sided pro/con debates. When such practices are ques- crime,
form accidents and disaster
a great disservice to stories
business sellbynewspapers;
not understanding,for ‘If it deepl
d As noted
tioned, in The Monitor
the common mediaessay replyonis Publishing
that they increaseand Printing, circula- bleeds, it leads.’and
explaining, Even worse is them.
critiquing the repugnant journalists’ habit of shodd
ying employers
tion
Reprinted and
with the
or viewership. big wirefrom
permission services enforce aThe
the publisher, sweatshop
Corporate envi- pouncing
Ron Robins, on some MBA,poor hapless
is founder disasterforvictim.
of Investing the Soul, How often have
(www.investing- ers w
gera- ronment
Ethics on
Monitor, journalists.
vol 18, In
issue a5 high
(Octoberpressure
In fact, the media ethics literature is full of instances of dubi- 2006). atmosphere
Free two geared
issue youforthesoul.com),
heard, say, a parent Huntsville, who has just
Canada. Helost their whole
advocates, writes and family
teaches on nies r
totrial subscriptions
the newsare available the subject of ethical and personal values based investing. He can be
are ous getting
media practices, out
such theason
asasfast www.ethicscan.ca
possible,
well-known background
media bias infor- for bad reached at <ronr@investingforthesoul.com> or call 705-635-3034. continued on page 80 comp
mation is inevitably excluded. The reliability of easily avail- have
rcher, able statistics is assumed, and not researched, analyzed, place