The 400,000 drop in labor union membership announced by the U.S. Bureau of Labor Statistics last week is discouraging. The bigger story is that at the center of the drop is the decline in employment for public-sector workers, most notably local government workers. This has been the weakest sector of the economy. And that largely reflects the decline in teachers. So, this is not so much about unions losing, but the continued lack of focus of American economic policy on maintaining investments for America’s future in the face of the ongoing weak economy. The myopic debates on the fiscal deficit and cutting budgets to meet the educational needs of America’s children (in order to preserve tax cuts for the currently wealthy) is not a plan to make America succeed in the long run.