Have you noticed that the media tends to have a negative bias to the things they report? Now and then, there is a positive story, but it appears that most headlines and stories are negative. There is a reason for this.
The Media’s Goal
We could surmise that the media’s primary function is to inform the public. There is no doubt that the media uses information as a deliverable, but the primary goal of the media is to make money. They need to sell and sell ads; they need eyeballs—your eyeballs.
A study by the NIH found that negative words in headlines increased content consumption, whereas positive words decreased consumption. The report said, “For a headline of average length, each additional negative word increased the click-through rate by 2.3%.1
Oh, The Irony
While negativity has increased in the media over the years, it has occurred during great prosperity and mostly positive economic conditions. Ironically, the media increased its usage of negative words during a period of significant wealth creation. Markets have soared over 500% in the last 25 years despite the negativity along the way.
This helps us realize that negative headlines (frequency and intensity) do not reflect reality. They reflect what will give media companies the best bottom line.
What to Expect
Expect such negativity to continue. In the media, there is a saying, “If it bleeds, it leads.” Expect to see more blood (negativity) because that generates the clicks.
As we come into the election season, with a very divided nation, it is reasonable to expect the negative headlines to become more frequent and intense. We cannot control the media headlines, but we can control whether we choose to tune in.
And remember, history shows that negative headlines do not reflect what is happening. If you come across something that concerns you, let’s talk. I am here to help you filter the noise and consider only things pertinent to your plan and desired outcomes.
Stay relentless,
Scott
Investment Advisor Representative of and advisory services are offered through Independent Wealth Network, Inc., a Registered Investment Advisor. Anthem Financial is not affiliated with Independent Wealth Network, Inc. Anthem Financial does not provide legal or tax advice. Please consult the appropriate professional regarding your circumstances.
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