MEDIA ANALYSIS

Media Analysis

Media Analysis

Introduction

Progress of an economy is measured in terms of how well a country manages the flow of capital and cash. Difference in the collection and payment structure defines proportionate purchasing capability of government. Debt ceiling is imposed by the government to protect the structure of lending by government and manage its budget deficit. However, excessive cash outflow increase pressure on the government to move towards debt financing for cash acquisition to settle its payment.

Debt ceiling is a limit imposed since 1917 by US law to the federal government debt. However, US government gradually increased the limit with the passage of time. Congress has the sole power to borrow money, for the government needs under section 8 of Article 1. Recent increase in the debt ceiling shifted the limit to 14.294 trillion dollar. President Barrack Obama allowed Congress to raise the debt ceiling to a minimum of $ 2.1 trillion.

U.S. Debt Ceiling issue is highly prominent in the newspaper these days. Increase in the debt ceiling directly impacted the financial condition of US and International stock markets. Three independent news articles have been selected from Toronto Star and The Globe and Mail on the hot media topic of U.S. Debt Ceiling and Global Economy. In the beginning week of August, news articles related to this topic were given place on the cover page of the newspaper. However, the articles that have been analyzed in this paper were published inside the newspaper to reduce the negative impact; suppress the hype condition that was observed relative to publishing the US financial condition on front pages.

Analysis of Media Articles

U.S. president, Barrack Obama, signed an agreement that allowed the elevation of the limit of U.S. debt. This ended weeks of political battles in Washington and evaporated the ghost of a cessation of payments without unprecedented in the history of that country. Obama signed an agreement that fully supports one or very satisfied with any party, but it is essential to remove the threat of bankruptcy looming over the country from midnight if Congress had not given its approval. Berman and Heinzl, Lewis, and Mallick Heather article show the relative importance of the issue by reflecting on the key economic figures, soon after the approval of the debt ceiling by the U.S. President.

Each of the articles that have been analyzed in this paper shows the relative importance of the issue to the global economic impact. Michael Lewis discussed the economic constraints of the issue with respect to change in economy growth due to increasing debt burden and maturing payments of US government. However, Heather Mallick adopted generalized approach to describe issue sensitivity. The article was not given a prominent position in the Toronto Star news paper based on the approach taken to elaborate the economic aspects of 2008.

In contrast to the Toronto Star articles, The Globe and Mail adopted optimized approach towards issue sensitivity. In order to suppress the effect that was observed in 2008, all three news articles of The Globe and Mail present the current situation in a better position. However, a more rigorous way has been adopted by reporters of the Toronto Star towards explaining the viability of concepts ...