Sectoral Media Focus and Aggregate Fluctuations

• 成果类型: Article
• 署名作者: Chahrour, Ryan; Nimark, Kristoffer; Pitschner, Stefan
• 署名单位: Boston College; Cornell University; Uppsala University
• 刊物名称: AMERICAN ECONOMIC REVIEW
• ISSN/ISSBN: 0002-8282
• DOI: 10.1257/aer.20191895
• 发表日期: 2021
• 页码: 3872-3922
• 关键词: ECONOMIC-POLICY; INFORMATION; news; expectations; shocks; micro; US

摘要

We formalize the editorial role of news media in a multisector economy and show that media can be an independent source of business cycle fluctuations, even when they report accurate information. Public reporting about a subset of sectoral developments that are newsworthy but unrepresentative causes firms across all sectors to hire too much or too little labor. We construct historical measures of US sectoral news coverage and use them to calibrate our model. Time-varying media focus generates demand-like fluctuations that are orthogonal to productivity, even in the absence of non-TFP shocks. Presented with historical sectoral productivity, the model reproduces the 2009 Great Recession.