Truth, not perception, corresponds to reality. Why is is so hard to find?

Richard Fernandez writes one of the best essays of the year that begins with a mother's lament over the BBC's cocaine culture.

Bows and Flows

Why have we become so indifferent to counterfeits? So willing to accept the clever facsimile for the ostensibly real? In part because perceptions are now such a big part of the economy that for so long as perceptions appear to be OK, then the economy must be ‘OK’.  In recent years management literature has talked extensively about the “servitization of the products” The modern economy no longer produces “things”. It produces intangibles called services. Insurance, banking, government, tourism, retail, education, social services, franchising, news media, hospitality, consulting, law, health care, environmental services, real estate and personal services now dominate the activity of the Western world. We produce satisfaction.

Perhaps the key difference between an economy based on things relative to that based on services is that the “truth” of things is self-evident while the value of services is often based on perception. Perception is often the proxy for value in a service economy. Indeed it often comprises the value itself, at least in the entertainment industry and possibly in news. It immediately follows that in a huge market for intangibles where “children’s programs”, sporting events, entertainment, academic degrees, derivatives, mortgages, ‘health care’, news and environmental indulgences are traded for vast sums telling the unflattering truth can be extremely costly. Stay away from the truth unless you absolutely positively have to.

In a market for fantasy the truth has little or no value.
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One of problems economists should study is what happens when the overall truth content of a servitized economy declines. Whereas the “truth” of a ton of steel is the steel itself, what is the truth of a bundled subprime mortgage? What is the truth content of a credit default swap? Perhaps we don’t know, and this circumstance has directly led to the current economic crisis. The financial meltdown is from a certain point of view, a pure crisis of information. What we don’t know (or better yet what we do know but ain’t so) is hurting us.
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Bad information destroys. We need to be free of bad information. Perhaps the underlying reason for the large and seemingly growing crisis in the Western World is that its truth reserves — the percentage of its information store that actually corresponds to reality — have fallen below a critical level and its institutions are attempting to cover the deficit by frantically printing more lies. Maybe the reason why finance, politics, news, real estate and environmental services are in dire such straits is that they among the service industries have the biggest portfolio of defective information. And it’s killing them. While there may be a tendency in the service economy to increase the amount of spin for short term gain in the long run survival depends on its minimization. We have to know where we are, if we are to avoid getting lost.

The way to the truth is to take the shortest path back to reality.

I've been pondering for a while now why truth matters so little to many people.