Still Talking the Economy Down
The N&O can't help themselves from talking this vibrant economy down. Today's header is Layoffs defy upbeat Wall St. The layoffs in question are the same kind we expect to see in a strong economy. Large and inefficient companies that are unable to adapt to new technologies must get smaller and/or go out of business. In this case those companies are Eastman Kodak, Hewlett-Packard and Kimberly-Clark.
The surest sign of a statist, and therefore sluggish and inefficient, economy is when we see these outmoded companies being saved by taxpayer dollars. But as long as the economy is producing new jobs that more than make up for the layoffs (which this economy clearly is), then we achieve a net benefit.
Lazy reporters and editors, especially those unwilling to admit that after 6 years of W the economy looks great, will run the headlines of large layoffs. Good reporters and editors who understand the economy, however, will do some work to find innovative small companies (the engine of growth in the U.S.) who are hiring and highlight the net overall job growth.
Economics
The surest sign of a statist, and therefore sluggish and inefficient, economy is when we see these outmoded companies being saved by taxpayer dollars. But as long as the economy is producing new jobs that more than make up for the layoffs (which this economy clearly is), then we achieve a net benefit.
Lazy reporters and editors, especially those unwilling to admit that after 6 years of W the economy looks great, will run the headlines of large layoffs. Good reporters and editors who understand the economy, however, will do some work to find innovative small companies (the engine of growth in the U.S.) who are hiring and highlight the net overall job growth.
Economics
posted by SCP at 8:18 AM
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