“Folks who just a few days ago guffawed at the prospect of a newspaper
bailout are already coming around to the idea after seeing politicians
spring to action.”

That’s the conclusion of CNN Money columnist Joe Wiesenthal after Wednesday’s U.S. Senate hearing, convened by Massachusetts Democrat John Kerry, on the “Future of Journalism.”

Wiesenthal wisely considers the entire notion laughable, but he also cautions it could happen.

See, politicians aren’t like us. When we get concerned about newspapers becoming “endangered species,” we talk about it or discuss it. When politicians do, they pass laws to deal with it. A hearing isn’t just an idle event. …

It’s not entirely ridiculous that the future of media is a matter worthy of a public debate like this. After all, the media is important to democracy and all that. But these particular hearings bring out the worst in politicians.
For one thing: Hello, it’s May 2009, and you’re starting this debate now?

[O]ne gets the distinct impression that John Kerry’s interest mainly stems from the realization that The Boston Globe is in a very real danger of shutting down. His interest in this subject is no different from the fact that politicians from Michigan are inordinately concerned with the auto industry.

For now, nobody will actually call the bailout a bailout. The current proposal has to do with letting papers be non-profits, more easily. At best that’ll help around the margins, but doesn’t solve anything fundamentally. The next step is some kind of national journalism fund or bank to help papers cross the bridge to a sustainable digital future. Just watch.

Silicon Valley CEO and media critic Alan Mutter lays out many of the obvious (though often unacknowledged in the MSM) reasons direct government support of the press is such an awful idea.

CJ’s Jon Ham also points out here that the Washington press corps seems to be acting as a subsidiary of the Obama adminstration anyway. No stress tests required!