Michigan Gov. Jennifer Granholm believes government should choose economic winners and losers:
What makes existing businesses in Michigan less worthy of tax relief than the Hollywood film industry? Jon Boguth, HOWELL, MICH.
You can’t give tax credits to everybody, because somebody’s gotta pay for them. We have targeted six sectors: homeland security, alternative energy, advanced manufacturing, life sciences, tourism and film. Film is an area associated with keeping young people here, with dynamism.
The results of that targeting? Michigan has an unemployment rate of 15.3 percent, a full 2 percentage points higher than any other state. To look at that disparity another way, you?d have to boost the unemployment rate of the No. 2 state (Nevada) by 15 percent to reach Michigan?s lofty plateau.
Targeted tax breaks haven?t helped North Carolina, either,. Joe Coletti explains in the video clip below.
