Murdoch Overwhelmed by Rival for Control of News: Amity Shlaes
By Amity Shlaes

Rupert Murdoch, chairman and CEO of News Corp.
July 5 (Bloomberg) -- It's called the Fourth of July but it
felt like Memorial Day to many journalists.
They spent yesterday mourning Rupert Murdoch's bid to snap
up the Wall Street Journal. The prospect of Murdoch in charge
had editors fretting that the media lord will impose his right-
wing political views upon the knights of the Journal's newsroom.
The grieving goes beyond Dow Jones, the Journal's parent,
to other industry buyouts. News hands believe that the
consolidation must lead to a tragic reduction in quality and
freedom. After all, as far back as 1945 the Supreme Court opined
that ``right conclusions are more likely to be gathered from a
multitude of tongues.'' Everyone knows editorial pages shift,
but the fear is that owners also will fiddle with the news
columns.
This is a story that touches just about every journalist,
pro-Murdoch, con-, or confused. I worked for Dow Jones for
almost two decades, and my book publisher is HarperCollins,
owned by Murdoch's News Corp. But do the data about bosses'
influence match the emotion?
Not really, if you believe two University of Chicago
economists, Matthew Gentzkow and Jesse Shapiro. Like many a
newsman, the pair decided that they weren't interested in
editorial pages and looked only at news. In a study for the
National Bureau of Economic Research, they compared owners'
politics to the political content of their papers' coverage of
news.
They found that news coverage does indeed parallel the
views of someone, but that someone isn't the boss. It's the
reader. What's more, the authors found, owner diversity isn't a
necessary condition for media diversity. The same owner often
has newspapers with different slants in different places.
Political Leanings
The Gentzkow/Shapiro method features many steps, but they
are as straightforward as an old editor's ruler. The pair
started by looking at donations made by media companies and
executives to political parties or individual Democrats and
Republicans. They couldn't get all data on all owners, but they
were at least able to develop a standard. The folks at the top
of Gannett Co. or MediaNews Group Inc., which publishes the
Denver Post, were entirely Republican by this measure. The
Seattle Times Co. management, by contrast, was Democratic.
Next, the authors measured the politics of the newspaper's
customers by looking at voting patterns in counties where the
papers are sold.
But it is when it came to determining political leanings in
the news reports that they got truly ingenious.
Buzz Words
First, they studied patterns in the remarks of members of
Congress to discern which buzz words go with which party.
Reviewing the appearance of a thousand key phrases in news
databases and the 2005 Congressional Record, they found
Democrats favor such combos as ``tax break,'' ``private
account'' and ``war in Iraq.'' Republican lawmakers by contrast
prefer the phrases ``tax relief,'' ``personal account,'' and
``war on terror.'' Another Democrat favorite was ``Corporation
for Public Broadcasting,'' while Republicans liked ``Circuit
Court of Appeals.''
Some of the differences were extreme. The Congressional
Record shows Democrats said ``estate tax'' a total of 195 times,
and ``death tax'' only 35 times. For Republicans, the rate for
``estate tax'' was 46, while they uttered the phrase ``death
tax'' 365 times.
Using the appearance rates of the same phrases in news
columns to gauge political slant, the authors then looked to see
which papers lined up with which party. ``We find,'' they wrote,
``that the average newspaper's language is similar to that of a
left-of-center member of Congress.'' No shock there. Even before
the days of anti-Bush rage, newsroom Republicans were so rare
that they could barely fill a lunch table in the cafeteria.
Lining Up
But there was a surprise. The politics of the papers didn't
necessarily line up with the politics of their owners. They
lined up, rather, with voting patterns in the zip codes that the
papers served. This was true even for Murdoch's New York Post,
whose news coverage turned out to be only an increment more
``Republican'' than that of the liberal New York Times. News
article word choice, Gentzkow told me, ``fits the taste of the
readership in those city markets.''
What about when the boss changes? Genztkow and Shapiro
followed three newspapers that changed ownership during the
period of their study, 2000-2005: the Los Angeles Times, the
papers Thomson Corp. sold to Gannett, and 16 daily newspapers
that Lee Enterprises Inc. acquired from Howard Newspapers.
In none of the cases was the change in political leaning of
the paper statistically significant. Most interesting of all, it
turned out that individual newspapers' politics might differ
according to the politics of their audience, even when the
newspapers have the same owner.
According to Locale
As the authors point out, the New York Times Co. has the
Times in New York, a heavily Democratic city, but also a paper
in Spartanburg, South Carolina, which is 67 percent Republican.
Those papers' politics varied according to their locale, not
Arthur Sulzberger Jr.'s mood.
One can challenge the thesis. On the chart of newsroom
slant, the Washington Times sits way over on the right. But the
zip codes that the paper serves are fairly Democratic. Owners
sometimes do matter more than the local consumer.
Still, the evidence suggests that papers go with readers,
not press barons. It is the guy in the next beach chair who is
the true boss. That realization may dispel some fears, at least
enough to make the weekend feel like a real holiday.
(Amity Shlaes, a visiting senior fellow at the Council on
Foreign Relations, is a Bloomberg News columnist. The opinions
expressed are her own.)
To contact the writer of this column:
Amity Shlaes in New York at ashlaes@bloomberg.net .
Last Updated: July 5, 2007 00:05 EDT