Wednesday, June 13, 2012
How important is credibility? Countries depend on it. The worry in Europe that started with Greece then swept across the southern nations is not going away. Investors are avoiding debt sold by Italy, Spain and Portugal. There is nothing that will bring them back except a belief that the countries have better news about their economies. And how will that belief be sparked? Not only do the countries have to get budgets under control, but they have to show improvement in jobless numbers, industrial output and other factors. Credibility, in other words, is not in what one says but in what one does. This is a lesson forgotten too often in communications. There are those who believe in the "spin factor." But, "spinning" won't do much good in the ongoing European crisis. Investors are looking for facts, and too many numbers are negative.