Slate Money | Money Talks: The Disappearing Databases
Feb 18, 2025
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Lizzie O'Leary, a business journalist and host of What Next: TBD, dives into the concerning decline of accessible government databases and their crucial role in the economy. She discusses the alarming loss of essential economic and demographic data, particularly impacting public health. O'Leary highlights challenges in maintaining trust in government statistics amid political changes, and explores the growing importance of private sector data as a more reliable alternative for economic insights. It's an eye-opening conversation on the future of data in America.
The removal of over 8,000 government webpages threatens the availability of critical data needed for informed policy-making and research.
Reliability concerns over economic data due to decreased government survey responses may push reliance on costly private sector data solutions.
Deep dives
Impact of Data Loss on Public Trust
Recent changes in government data availability have raised significant concerns about the potential loss of vital information for researchers and policymakers. Notably, over 8,000 U.S. government webpages related to essential data sets have reportedly gone offline, impacting statistics that people rely on for various fields including public health and economics. Without access to reliable data, the ability to make informed policy decisions becomes compromised, as the historical context and trends that inform those decisions may be lost. The removal of critical data resources could lead to long-term consequences in areas such as healthcare, environmental protection, and economic planning, affecting how the government addresses these issues moving forward.
The Reliability of Economic Data at Risk
Concerns have arisen regarding the reliability of economic data amid recent changes in data collection and reporting practices. While some economic indicators remain unaffected, the overall integrity of data depends heavily on ongoing, consistent updates and methodologies utilized by statistical agencies. There is a growing fear that the reduction in response rates to government surveys, especially since the pandemic, could lead to less reliable economic measures going forward. If trust in government statistics diminishes, it could have ripple effects on market confidence, affecting decisions made by businesses and investors alike.
The Emergence of Private Data Solutions
As public data becomes less reliable, the potential rise of private sector data solutions might offer an alternative for obtaining economic insights. Tools like the Million Prices Project and payroll data from companies such as ADP could provide valuable information that complements or replaces government statistics. However, access to these private datasets can be expensive and may not be available to all businesses, particularly smaller ones. The shift towards private data reliance could alter the landscape of economic analysis, leading to skepticism about government figures and prompting a more diverse approach to understanding economic conditions.
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