….according to analysts in this article from MediaDaily News:

A FULL-BLOWN RECESSION WOULD PROBABLY take a substantial bite out of traditional media, according to a survey of industry analysts and independent researchers. But digital media will benefit from these draw-downs as financially strapped marketing executives shift dollars online, seeking more transparent measures of ROI. In many cases, a recession would simply accelerate a long-term trend that is already underway.

In the event of a recession, the outlook is considerably gloomier for newspapers and radio, where revenues are already declining because of long-term secular trends, which were in evidence well before the economy began to sputter.

After slipping 1.68% in 2006, total U.S. print newspaper ad revenues tumbled an alarming 9% during the first three quarters of 2007 compared to the same period in 2006, to $30.5 billion (fourth-quarter figures aren’t yet available). “And that was in relatively good economic times,” observed Ken Doctor, a newspaper analyst with Outsell, Inc., who said “a recession would simply compound the structural change of readers and advertisers moving from print to online.” (Read More)

U.S. Web 2.0 Investment by Region, 2006-2007

Source: Red Herring