Channels of Influence

Krugman writes about the Bush-Clear Channel connection, which I wrote about here.


NYPress archives busted apparently - here's what I wrote:

Radio Ga Ga

Clear Channel Worldwide Inc., owner of 1200 radio stations nationwide,
sponsored the numerous "patriotic rallies" which were held in various cities around the country. They organized, advertised, provided speakers and entertainment for them, and even handed out numerous American flags to participants.

While Clear Channel promoted these as patriotic rallies, the attendees obviously felt otherwise. In addition to waving their provided flags, they also held signs condemning their fellow Americans - liberals, Hollywood, the Dixie Chicks. They were not so much patriotic rallies as pro-war rallies, and not so much pro-war rallies as rallies against anyone who opposes the Bush administration's policies.

There are close ties between the company and President Bush. The Vice Chair of the company is Tom Hicks, a member of the Bush Pioneer club for elite (and generous) donors.The relationship between Bush and Hicks goes back even further, however. The two were embroiled in scandal when Hicks, as University of Texas Regent, was responsible for granting endowment management contracts of the newly created (under legislation signed by Bush) UT Investment Management Co.
(UTIMCO). The contracts were given to firms politically connected to both Hicks and Bush, including the Carlyle Group - a firm which has the first President Bush on the payroll and had the second one on the payroll until just weeks before receiving this lucrative business. The board of UTIMCO also included the Chair of Clear Channel, L. Lowry Mays. In addition, Hicks purchased the Texas Rangers from George Bush, making him a wealthy man through a deal which was partially enhanced by a shiny new taxpayer financed stadium, which included valuable it obtained at below market rates through the use of eminent domain.

Whether or not the close ties between the radio behemoth Clear Channel and the president have anything to do with their rallying support for his policies is unclear. If it were a small company it would not much matter. But, Clear Channel is a media giant, dominating the radio and promotion industries. The potential for the alignment of big media and the government should concern us all, especially as FCC Chair Michael Powell continues to push to reduce the barriers to even further media consolidation.

and UggaBugga has a pretty picture.