How to help the news media

The centerpiece proposal from the Public Policy Forum’s report, The Shattered Mirror, is to change the tax code to charge companies who want to advertise in Google and Facebook a ten percent levy, and then funnel that money into a fund that will be used to pay for digital journalism, as dispensed by an arms-length federal body.

This is one of those ideas that is high-minded, well-intentioned, and looks worse and worse the more I think about it.

There are fairness issues: why target, and punish, Canadian companies who do international digital business, and need to advertise on Google or Facebook to reach those audiences? How is the failure of the news media their problem to solve?

There are accountability issues: It is one thing to use taxpayer dollars to fund arms length institutions like NSERC or the CBC. There is at least in these cases a chain of accountability from the taxpayer to a minister to whom the institution is responsible, and who is in turn responsible to parliament.… Continue reading