[actinic]

A relatively short and good read which mirrors my concerns. Yes, the economic figures seem to be improving in the state but is it too reliant on the auto industry?

Calabrese: Car crazy | www.michiganview.com | The Michigan View

[belleislerunner]

This is the best the author could come up with for a suggestion?

[LEFT]"What Michigan needs to do is lay the groundwork, as quickly as possible, for the growth of as many vibrant businesses as it can who have nothing whatsoever to do with the auto industry. We need to build our future on these companies."


It's a good thing he's limited to spiritual thrillers and not politics, government or business.
[/LEFT]

[actinic]

Originally Posted by belleislerunner

This is the best the author could come up with for a suggestion?

A solution can only be found if one admits there's a problem, something than many have a hard time understanding. That's the essence of the article

[magellan]

Originally Posted by actinic

A solution can only be found if one admits there's a problem, something than many have a hard time understanding. That's the essence of the article

I don't know. People have been talking about this for a LONG time, and this author is way late to the game. Michigan has diversified, it lost hundreds of thousands of automotive related and manufacturing jobs, so it is less reliant on those industries. The percentage of people working in mfg in Michigan is at its lowest ever (went from about 900,000 people to about 400,000 in 10 years). And how did that work out? Michigan shunned the auto industry and treated manufacturers like second rate citizens. How'd that work out?

It's kind of like telling the D.C. metro area to be less reliant on federal government related employment. Why? That's what they're good at.

Government can't tell businesses what industries to specialize in. It never works.

So what does the author suggest? Give special treatment to companies based on who their customers are? What they do?

[actinic]

Originally Posted by magellan

Michigan has diversified, it lost hundreds of thousands of automotive related and manufacturing jobs, so it is less reliant on those industries.

I'm not so sure its less reliant. Yes, auto manufacturing jobs are down but so are jobs in other non related fields, perhaps proportionately more so.

[magellan]

Originally Posted by actinic

I'm not so sure its less reliant. Yes, auto manufacturing jobs are down but so are jobs in other non related fields, perhaps proportionately more so.

Back in 2000, about 19% of Michigan's workforce worked in mfg; now it's around 12.7%. If that's not diversification, I'm not sure what is.

[darstar]

Interesting how different the " other" Michigan is and has been during the recession. We never depended on any one industry to carry the load. The closest would be the iron mines, as cars are still, for now mostly steel. Our ore shipping has been up a lot this year compared to a couple of years ago.
We never experienced lower home prices, there is still a demand for new homes, and apartments here in Marquette County.There are help wanted signs all over town.The trades have been very busy, no shortage of construction work.
Maybe we are fortunate to be part of the Northern Tier, and not so connected to the lower Midwest.

[Arthur Digby Sellers]

Originally Posted by magellan

I don't know. People have been talking about this for a LONG time, and this author is way late to the game. Michigan has diversified, it lost hundreds of thousands of automotive related and manufacturing jobs, so it is less reliant on those industries. The percentage of people working in mfg in Michigan is at its lowest ever (went from about 900,000 people to about 400,000 in 10 years). And how did that work out? Michigan shunned the auto industry and treated manufacturers like second rate citizens. How'd that work out?

It's kind of like telling the D.C. metro area to be less reliant on federal government related employment. Why? That's what they're good at.

Government can't tell businesses what industries to specialize in. It never works.

So what does the author suggest? Give special treatment to companies based on who their customers are? What they do?

We already tried giving preferential treatment to non-automotive companies. We now have an empty, bankrupt movie studio sitting in Allen Park and a car battery manufacturer in Livonia (A123) that is months away from filing for bankruptcy.

[belleislerunner]

I've never understood why some people are embarrased because of Michigan's manufacturing power. GM, Ford, Chrysler, Tier One Suppliers - that's something to be proud of. People make tangible products that are used around the world and have pride in product like none other.

Do you think some back office worker for the Wall St banks in Jacksonville, FL somehow really goes home and feels like he's making a meaningful difference in the world with his work? Dream on...

[magellan]

Originally Posted by Arthur Digby Sellers

We already tried giving preferential treatment to non-automotive companies. We now have an empty, bankrupt movie studio sitting in Allen Park and a car battery manufacturer in Livonia (A123) that is months away from filing for bankruptcy.

Similar story over here. United Solar Ovonics was handed huge piles of tax credits because they were part of the "new economy." Proposed 6 plants in Greenville employing over 1200 people. They built two plants, never built the other 4, went bankrupt, just recently had a fire sale of everything in the plants and everyone's out on the streets.

Yet I know of several tech companies here who have never gotten a cent from the State, and they can't hire people fast enough (having a hard time finding developers) to keep up with demand for their services.