New Delhi: A group of 11 leading economists from around the world – including Nobel Prize winners Joseph E. Stiglitz and Daron Acemoğlu – have issued a statement highlighting the need to invest in independent, reliable and pluralistic journalism.

The economists say they have followed "global trends with a growing sense of alarm" and so have "set out the case for investing in the informational economy and adequately structuring markets to secure it".

“Public Interest media play an essential role in guaranteeing...information supply and ensuring its quality. They are like the central banks of the informational economy: providing the confidence in the system that is necessary for it to function,” the statement reads.

The economists were brought together to form a 'High-Level Panel on Public Interest Media' the Forum for Information and Democracy and the International Fund for Public Interest Media. In addition to Stiglitz (Columbia University) and Acemoğlu (Massachusetts Institute of Technology), the members are Philippe Aghion (INSEAD and London School of Economics), Tim Besley (London School of Economics), Francesca Bria (University College London), Diane Coyle (University of Cambridge), Obiageli Ezekwesili (Human Capital Africa), Mariana Mazzucato (University College London), Atif Mian (Princeton University), Andrea Prat (Columbia University) and Vera Songwe (Liquidity and Sustainability Facility).

Public interest media, the statement says, is being threatened across the world for two main reasons. First, "information is a public good that market forces alone will never supply at the level our modern economy and society need. The advertising revenue model that sustained free and independent media for decades always came with challenges, including editorial independence. But in the digital era, that model has collapsed."

Second, "the growing extent of government interference, particularly but not solely from authoritarian governments. The RSF World Press Freedom Index and the Freedom House Freedom in the World Index both show a deterioration in press freedom globally over the past decade. Legalistic attacks on the media, such as restrictive media laws and defamation suits and even outright suppression, are becoming more common."

These threats are serious, as "Without an independent and thriving public interest media, neither national economies nor trade and capital flows between them can function effectively, preventing international society in turn from addressing the major economic, social, and environmental challenges of the day, be it achieving the UN Sustainable Development Goals, securing equitable global growth and prosperity, or addressing the climate crisis."

“Information is a public good that market forces alone will never supply at the level our modern society demands. Current business models are failing, and as revenue shifts to online platforms, powerful entities can co-opt or silence independent media. Alarmingly, state support for public interest media remains low, especially when contrasted with the substantial resources allocated to propaganda by autocratic regimes.”

As world leaders gather in New York for the United Nations General Assembly, the 11 economists ask them to follow through on these two key paths:

1. Invest in free and independent journalism by diversifying and increasing resources for the production of reliable information

For this, "public support and investment in public interest media must be increased both nationally and internationally", "new media compensation models are needed for allocating fairly and efficiently the rewards accruing from the economic value produced by public interest media and for providing the incentives and resources necessary for the sustenance of quality public interest media", and there should be "digital taxes on the major platforms to provide additional revenue to support journalism".

2. Shape informational ecosystems in the public interest through active use of industrial policies and safeguards against media capture and interference 

The economists say the "right sort of regulation is needed as the central pillar of a new industrial policy for public interest media". While some believe that regulating AI and tech platforms amounts to censorship and disrupts competition, the signatories disagree. "On the contrary, used appropriately, regulation creates a better information ecosystem to the benefit of our economy, our democracies, and our society; and good regulation encourages more productive and socially useful innovation. ...For example, mandatory digital disclosures are a crucial element in allowing governments to effectively  regulate big tech and AI and should be brought into law."

In their conclusion, the economists highlight the urgency of their call. "In the era of AI and digital algorithms, not acting to secure public interest media is no longer an option," they say. "...What is needed now is not reinvention of the wheel but a new level of political will and a concerted commitment by governments to invest in what we know works — nationally and internationally."

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