On Thursday, at a rough estimate, 75,000 Americans were laid off or fired by their employers. Some of those workers will find good new jobs, but many will end up earning less, and some will remain unemployed for months or years.
If that sounds terrible to you, and you’re asking what economic catastrophe just happened, the answer is, none. In fact, I’m just assuming that Thursday was a normal day in the job market.
The U.S. economy is, after all, huge, employing 145 million people. It’s also ever-changing: Industries and companies rise and fall, and there are always losers as well as winners. The result is constant “churn,” with many jobs disappearing even as still more new jobs are created. In an average month, there are 1.5 million “involuntary” job separations (as opposed to voluntary quits), or 75,000 per working day. Hence my number.
But why am I telling you this? To highlight the difference between real economic policy and the fake policy that has lately been taking up far too much attention in the news media.