Thursday, September 6, 2007

Latest Report Card on Michigan's Economy

Americans for Prosperity Foundation just issued a report "Restoring Michigan Competitiveness, Prosperity in the Great Lakes State". It is, unfortunately, not very encouraging. Here are some of the data revealed, (all from U.S. Government statistics):
  • Our Midwestern neighbors (WI, OH, IL, IN) had growth real GDP growth rates from 2002-2006 of 5.6% to 8.3%. USA growth was 12.8%. Michigan was -2.8%.
  • USA private-sector job growth was 4.8%. Michigan was -3.4%.
  • From 1980 to 2006, Michigan's population grew 9%, state spending grew 71% and state debt grew 278% in inflation-adjusted dollars.
  • From 1990-2006, states with Right-to-work laws had a 39.7% job growth. Closed union-shop states grew only 17.2%

We seem to be in a downward economic spiral with no end in sight. Yes, there are solutions. But this governor and her Democratic leadership in the House and Senate are not considering those answers, i.e. spending cuts, education pension and insurance reform, right-to-work, privatization of state functions, consolidation of redundant services, just to name a few.

Instead, it seems we are on a course for a potential government shutdown. We have not finished all of the budgets yet so we don't know for sure how much we will be spending in the coming year. But it looks for sure like it will be much more than what is coming in. Perhaps $1.5 billion more. We have 24 days left to resolve it. Today, as I write this at 5:20 P.M. on September 6, we have been "in session" since noon and have not voted on a single bill. Stay tuned...

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