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Dean Baker's commentary on economic reporting

Does McCain Think that the White Sox Victory in the World Series Created 1 Million Jobs?

Presumably, the answer to this question is "no," but the methodology that he used in claiming the success of NAFTA, would imply that the answer is "yes."

According to the Wall Street Journal, McCain pronounced NAFTA a success at a speech in Canada, noting that Canada had created 4 million jobs since the deal was signed and that the United States had created 25 million jobs.

The fact that these economies have created jobs over the last 15 years tells us nothing about the success of NAFTA. Barring wars or environmental disasters, or incredibly bad economic policies, economies always create jobs. The serious question is the rate of job creation. In the case of NAFTA, a deal which was designed in a way that would put downward pressure on the wages of non-college educated workers, a key question is the rate of growth of wages of these workers over the last 15 years.

Reporters are supposed to do more than just write down what politicians say. (Presumably smart high-school students would be willing to do this work at a bit more than the minimum wage.) When candidates say things that make no sense, as did Senator McCain, it is appropriate to point this fact out to readers and to press the candidate or their staff about what the candidate intended to say.

--Dean Baker



COMMENTS

Dr. Baker, do you seriously know how much merchandise some of us White Sox fans bought after that World Series win? It clearly was associated with job creation. We'd been waiting decades for that!

we would have won in '64 if the Yankees didn't cheat and beat us out by a game!

It's funny --most reporters have no problem subjecting the offhand comments of leading Dems to intense scrutiny in order to reveal deep, underlying character flaws, but when it comes to assessing the accuracy and/or veracity of Republican policy pronouncements and frameworks, it's dictation time!

My favorite example of such reportorial incompetence: a few years back George W. was speaking about SS reform, and pointed out the fund currently consists only of federal bonds, "worthless IOUs." Later during Q&A a reporter asked if sock investments wouldn't involve too much risk, and Bush replied that those desiring sound risk-free investments could keep their funds in federal bonds. The reporters seemed to find this a perfectly sensible answer.

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