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The Rise of the Fourth Estate: How Newspapers Became Informative and Why It Mattered

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Author Info
Matthew Gentzkow
Edward L. Glaeser
Claudia Goldin

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Abstract

A free and informative press is widely agreed to be crucial to the democratic process today. But throughout much of the nineteenth century U.S. newspapers were often public relations tools funded by politicians, and newspaper independence was a rarity. The newspaper industry underwent fundamental changes between 1870 and 1920 as the press became more informative and less partisan. Whereas 11 percent of urban dailies were "independent" in 1870, 62 percent were in 1920. The rise of the informative press was the result of increased scale and competitiveness in the newspaper industry caused by technological progress in the newsprint and newspaper industries. We examine the press coverage surrounding two major political scandals -- Credit Mobilier in the early 1870s and Teapot Dome in the 1920s. The analysis demonstrates a sharp reduction in bias and charged language in the half century after 1870. From 1870 to 1920, when corruption appears to have declined significantly within the United States, the press became more informative, less partisan, and expanded its circulation considerably. It seems a reasonable hypothesis that the rise of the informative press was one of the reasons why the corruption of the Gilded Age was sharply reduced during the subsequent Progressive Era.

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Paper provided by National Bureau of Economic Research, Inc in its series NBER Working Papers with number 10791.

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Date of creation: Sep 2004
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Handle: RePEc:nbr:nberwo:10791

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H1 - Public Economics - - Structure and Scope of Government
N4 - Economic History - - Government, War, Law, and Regulation
O1 - Economic Development, Technological Change, and Growth - - Economic Development

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References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
  1. Brunetti, Aymo & Weder, Beatrice, 2003. "A free press is bad news for corruption," Journal of Public Economics, Elsevier, vol. 87(7-8), pages 1801-1824, August. [Downloadable!] (restricted)
  2. Matthew Gentzkow & Jesse Shapiro, 2005. "Media Bias and Reputation," NBER Working Papers 11664, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
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  3. Steven Berry & Joel Waldfogel, 2003. "Product Quality and Market Size," NBER Working Papers 9675, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
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  4. Sendhil Mullainathan & Andrei Shleifer, 2005. "The Market for News," American Economic Review, American Economic Association, vol. 95(4), pages 1031-1053, September. [Downloadable!]
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(explanations, Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.)

  1. Timothy Besley & Andrea Prat, 2006. "Handcuffs for the Grabbing Hand? Media Capture and Government Accountability," American Economic Review, American Economic Association, vol. 96(3), pages 720-736, June. [Downloadable!]
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  2. Prat, Andrea & Strömberg, David, 2005. "Commercial Television and Voter Information," CEPR Discussion Papers 4989, C.E.P.R. Discussion Papers. [Downloadable!] (restricted)
    Other versions:
  3. Riccardo Puglisi & James M. Snyder, Jr., 2008. "Media Coverage of Political Scandals," NBER Working Papers 14598, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
  4. Stefano DellaVigna & Ethan Kaplan, 2006. "The Fox News Effect: Media Bias and Voting," NBER Working Papers 12169, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
  5. Valentino Larcinese & Riccardo Puglisi & James M. Snyder, Jr., 2007. "Partisan Bias in Economic News: Evidence on the Agenda-Setting Behavior of U.S. Newspapers," NBER Working Papers 13378, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
  6. L. Cameron & A. Chaudhuri & N. Erkal & L. Gangadharan, 2005. "Do Attitudes Towards Corruption Differ Across Cultures? Experimental Evidence from Australia, India, Indonesia andSingapore," Department of Economics - Working Papers Series 943, The University of Melbourne. [Downloadable!]
  7. Matthew Gentzkow & Jesse Shapiro, 2005. "Media Bias and Reputation," NBER Working Papers 11664, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
    Other versions:
  8. Lee J. Alston & Jeffery A. Jenkins & Tomas Nonnenmacher, 2005. "Who Should Govern Congress? Access to Power and the Salary Grab of 1873," NBER Working Papers 11908, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
    Other versions:
  9. Matthew Gentzkow & Jesse M. Shapiro, 2006. "What Drives Media Slant? Evidence from U.S. Daily Newspapers," NBER Working Papers 12707, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
  10. Rafael Di Tella & Ignacio Franceschelli, 2009. "Government Advertising and Media Coverage of Corruption Scandals," NBER Working Papers 15402, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
  11. Maria Petrova, 2009. "Newspapers and Parties: How Advertising Revenues Created an Independent Press," Working Papers w0131, Center for Economic and Financial Research (CEFIR). [Downloadable!]
  12. Andrew Leigh, 2004. "Does the World Economy Swing National Elections?," CEPR Discussion Papers 485, Centre for Economic Policy Research, Research School of Social Sciences, Australian National University. [Downloadable!]
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