In July, James Fallows took the media establishment by surprise when he was named editor of U.S. News and World Report, after a 17-year career as Washington editor of The Atlantic Monthly. His best-selling book, Breaking the News: How the Media Undermine American Democracy is a vivid and powerfully persuasive explanation of what has gone wrong with the American media-and what can be done about it. Once a critic of the American press, he is now one of its major players. Insiders report Mr. Fallows is already making major changes in staff and policy at U.S. News and World Report, indicating he is holding himself accountable to accusations made in his book. In his analysis of why the media establishment has become so unpopular, Mr. Fallows insists the media must change if the news business is to survive and thrive.