The Holiday's Shopping Season Can't Stop the Coming 'Severe Recession'

By Danny Schechter, AlterNet. Posted November 24, 2007.

Boston, Mass. -- You could almost run that old Lone Ranger theme -- the famous William Tell Overture -- as the soundtrack to the local news stories I watched here in Boston on Thanksgiving day featuring perky local news "correspondents" stirring a buying frenzy with upbeat reports on manic consumers racing into malls for "midnight madness" sales.

It was, in the words of Reverend Billy of the Church of Stop Shopping, a "shop-apocalypse." His crusade against out-of-control consumption is pictured in the new film "What Would Jesus Buy?" opening at some theaters in L.A. and San Francisco.

This highly relevant film was not on TV, of course, because our media is deeply complicit in promoting and encouraging mindless consumerism through newspapers, commercials and newscasts. This is a well-practiced formula mirroring TV's promotion of the war in Iraq, as the line between selling and telling disappears. Media outlets are amply rewarded with endless ad revenues hyping all the discounted goodies you can get, with the Boston Globe packing no less than 43 advertising-sales supplements (down from 47 a year ago) into a paper that had wall-to-wall Macys ads, including some offering $10 coupons to bribe you the stores. Marketing is what the media does best.

The only negative note was the fear among some that toys might be unsafe because of lead or other dangers. Some 26 million toys have been recalled this year, a sign that the regulators were asleep on this front in the economic wars as they were on Wall Street. The real danger may not be lead in the toys but another type of lead in our heads that leads to denial on the part of millions that we can go on with addictive, well-cultivated, crazed consumption habits.

Bill Bowles writes about this on his CNI blog:

"The problem is that many of us have been force-fed with a diet of nothing but passive, uncritical consumptionism; indeed, we are addicted to the stuff; breaking such powerful habits is what this is all about; it's about getting people to think critically again about what's going on and why and what, if anything, we can do about it."

Bowles also ties this cultural affliction sometimes known as affluenza back to our dependence on a media system that won't really allow other voices to be heard:

"It would be an understatement to say that the world has changed almost beyond recognition in the past two decades. We appear to have re-entered the age of the dinosaur, gigantic creatures stomping across the planet, 'guided' by pea-sized brains. So ... we have increasing concentrations of powerful media -- media that is actually an entire raft of processes critical to the survival of capitalism -- either in the hands of vast corporations or the state (which in any case is now openly in bed with the big corporations) ..."

Were most media outlets connecting any dots between the annual shopathon and the "severe recession" that many economists are forecasting? Were there any warnings to the public to save their rapidly inflating money for the expected hard times? Was there any explanation of how prices have sharply risen and, thus, the discounts -- often "teaser" rates just like the ones offered subprime loan victims -- are really not all they are cracked up to be?

No way.

What about the larger trends? Yes, there has been reporting on how bad things are, but this reality was largely not depicted in the "shop now, be happy" coverage. The Globe did run a story in the B section where the business news is buried. At the very end of the AP report (not theirs), you read this:

"Last year, retailers had a good start during the Thanksgiving weekend, but many stores struggled in December, and a shopping surge just before and after Christmas wasn't enough to make up for lost sales.

This year, analysts expect sales gains to be the weakest in five years. Washington-based National Retail Federation predicted that total holiday sales will be up 4 percent for the combined November and December period, the slowest growth since a 1.3 percent rise in 2002.

Holiday sales rose 4.6 percent in 2006, and growth has averaged 4.8 percent over the last decade."

"The spectre of the subprime debacle is that it's just a start. Huge amounts of auto loans, credit-card debt, commercial mortgages and equipment leases have also been securitized. If similar problems emerged, it would shake confidence in the securitization model and, by magnifying investors' losses, threaten to turn the credit crunch from a slogan into a reality. A broader crisis, though a long shot, can't be excluded."

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Filmmaker Danny Schechter has just finished a new book on the economic crisis, Squeezed: America as the Bubble Bursts, following up on his film InDebtWeTrust. Email Danny at Dissector@mediachannel.org.

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