Paying bloggers for coverage: a good idea?

In social media, you can buy a Twitter background, or get your name into an iPhone app, or slather yourself all over a YouTube clip. But it's all fun and games until you whisper the phrase "sponsored post." Companies paying bloggers for coverage remains a taboo in many circles, as research firm Forrester learned this week after publishing a report called "Add Sponsored Conversations to Your Toolbox." The $795 write-up (which admittedly I haven't paid to read) encourages companies to consider buying up positive coverage from respected bloggers.