A
little-spoken issue in the collapse of local journalism is the role of
'attentive public'. In a world of globalized journalism, this small
segment of society has in some ways re-oriented itself away from an
interest in the locality.
Once upon a time, most educated people relied on their local newspaper for national and international news. These local newspapers got most of their news from elite news outlets like Reuters and AP. (The local news in any society is basically really underwhelming, and it needs to be mixed with "big picture" items to be palatable to educated readers.)
With the advent of the Internet, at least two things happen. First, the best-educated readers skip over the middleman and go straight to the source (or sources, in the case of Google News). Second, local newspapers can save themselves a pretty penny by not only gutting their own reporting staffs, but eliminating their subscriptions to national and international news sources, so that the local 'newspaper' now resembles a newsletter, littered with sports, recipes, and celebrity gossip. (In technical terms, 'editorially-driven' local 'daily newspapers' no longer exist, they have been quietly morphed into 'advertiser-driven' 'community newspapers', which were typically free weekly items available at the grocery store.)
The funny thing is that the readership, or what remains of the readership at the local level, does not notice this. Most people never really had an interest in The Issues of the Day.
(An eventual problem is that
the younger generation of relatively uneducated people will get their
sports, entertainment, recipes, coupons, real-estate propaganda and
celebrity gossip not from the local rag, but from the Web.)
The bigger problem is that the
smartest locals are much less interested in their locality, although
they are immensely more attuned to the world and its issues (e.g.,
global warming).
The economic parallel with this is
the divestment of the top income earners from actual property and
production. At one time, the richest people in the US owned private
companies; the factory owners were tough, but emotionally attached to
the locales of their factories, and they were community leaders.
However, they turned those companies public, made a fortune, and the
factories moved to Asia. Now all their money is in investments scattered
all over, especially in the stock market. (Same is true with Donald
Trump, who inherited 29,000 apartments from his father. Today, Trump is
not really the real-estate baron he pretends to be. He is now a
celebrity who very lucratively licenses his brand to global developers.)