The Media’s Top 10
Economic Myths of 2005
EXECUTIVE SUMMARY
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It was difficult to wade through the economic news of 2005. Gloom
and doom overwhelmed any rational examination of the U.S. economy.
Journalists were so obsessed with their negative outlooks that they
set aside reason and reported one fantasy after another. The Free
Market Project compiled the 10 worst:
10. America
should follow French fashion in business
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Media Myth: France’s short
work week, benefits and loads of vacation time made it a workers’
paradise.
9. We must
raise taxes to cope with ballooning deficits
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Media Myth: Spending for
hurricane recovery and Iraq is driving the U.S. deficit out of
control. The only answer is to raise taxes to pay for it all.
8. Global
warming is causing stronger hurricanes
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Media Myth: Thanks to the U.S.
rejection of the Kyoto treaty, global warming is on the rise and
warmer oceans are spawning deadlier hurricanes than ever.
7. America is
cheap with its foreign aid
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Media Myth: At least our
good-hearted celebrities understand that compared to other nations,
America doesn’t give much to help the world’s poor.
6. Hurricane
Katrina will send the economy into a tailspin
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Media Myth: With homes and
businesses destroyed and the nation’s oil supply hit, the United
States will surely hemorrhage jobs and head toward a huge downturn
in Katrina’s wake.
5. The housing
bubble is about to burst
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Media Myth: The housing
market, white-hot for so long, is about to go bust and take you and
your home’s value with it.
4. Americans
are dying to be fat
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Media Myth: America is
suffering from an obesity epidemic, so we’ve got to keep everyone
away from foods and beverages with calories. This has become the
nation’s No. 1 health problem and we’re dying at the rate of 400,000
a year.
3. Consumers
are choosing between food and fuel
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Media Myth: Rising energy
prices mean there won’t be much in little Timmy’s stocking this
Christmas. Mom and dad can’t heat their home and buy food, so other
business sectors are going to get Scrooged.
2. Big,
profitable companies are up to no good
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Media Myth: Big money-makers
like the oil and drug industries should be sharing the wealth. Oil
companies were profiting off others’ misfortunes – laughing all the
way to the bank while you got squeezed at the pump. And Wal-Mart’s
business practices were just as bad.
1. The U.S.
economy is hopeless
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Media Myth: There are plenty
of reasons to doubt the economy. Gas prices; housing bubble; auto
workers losing jobs… the evidence is everywhere.
Don’t believe
the myths! To get the truth, go to
www.freemarketproject.org
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