Wednesday, November 21, 2007

Saving Michigan from the Lights-Out Problem 

Filed As:  Budget and Tax

The 1970s saw a great out-migration of Michiganders from the Great Lake State to places like Texas. The Mackinac Center has offered some recommendations that might keep another wave from afflicting Michigan.

The Mackinac Center has already documented back in March 2005 that Michigan was suffering under the United Van Lines test: More people were leaving the state than were entering it.

To be sure, the plight of the auto industry was a leading factor, though even there, short-sighted attitudes in industry have been encouraged by official policy. A strong union mentality hasn't helped.

Lately, the state government has made things worse by raising taxes and extending the scope of taxes. That makes Michigan less attractive place to live in two ways. Directly, it makes it more expensive to live there and do business there. Indirectly, the tax hikes further discourage job growth and creation--and of course, without job to be hand, out-migration is sure to follow.

The Mackinac Center, however, now offers many ideas for reducing the burden of government on families, businesses, and the economy.

The title of a new report (PDF) is descriptive: Replacing Michigan’s New Taxes With Budget Reductions: Curing $1.358 Billion in Overspending With 55 Specific Recommendations.

There's still time to keep the lights on. 

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