Friday, December 30, 2005

Detroit has massive problems.

As you look at the title I give this post you're probably thinking "No kidding!" and I am not talking about the Tigers and the Lions, though they have problems as well.

The Detroit Free Press has the story. The city faces a $100,000,000 + budget gap next year. They can't rely on property taxes and income taxes are a non-starter when the city has an unemployment rate of almost 15% compared to the states 7.6 percent and the nations 5.2%.

Detroit's problems are not that hard to explain.

1. Extreme left wing government - The Great Lakes answer to San Francisco.

2. Too much dependence on one industry.

3. Brilliant ideas to renovate the city like new Stadiums and Casinos.

4. Living wage laws.

5. Corruption Corruption Corruption

6 Out of control unions -- see #5

7. Work ethic? What's that?

8. Crime.

And here is another wonderful thing from that Article

Detroit remains the nation's poorest big city, with about one in three residents living below the federal poverty level of $19,157 for a household with a family of four.

Looks like that liberal government is really helping the people.

That and the Kittens . . . er . . . I means the Lions and the Tigers.

Update 12/31 11:31 AM I forgot to mention schools so bad that several years ago the governor of Michigan, at that time John Engler, fired the entire school board and had the state take over the schools.

5 Comments:

Blogger Crazy Politico said...

The thing about Detroit's one industry problem is that in the 70's they saw this coming, and figured "things will get better for the Big 3", and continued chanting that for the last 30 years.

The sad thing is, with the right programs, Detroit could be huge in many industries. There is a workforce that needs work, one of the better transportation infrastructures in the country (because of the auto industries needs), perfect proximity to Canada for imports/exports.

But the current state government (and those before) have made the place one of the 5 worst states in the country to do business.

3:36 PM  
Blogger shoprat said...

Engler tried to make it better but he lost the tug o war with the unions. They are Michigan's real problem. They have forgotten why they exist and now exist only to collect dues and elect politicians. They also have this little problem of loving full employment but hating employers.

3:40 PM  
Blogger Lone Pony said...

Off topic but it's 12:07 in Missouri. Happy 2006 shoprat. :-)

1:09 AM  
Blogger Crazy Politico said...

SR, I agree with you. It was one thing for the unions to basically get what they wanted, when they were the only game in town. But with the decline of the Big 3, someone in the leadership area of the Unions needs to take a reality pill.

9:42 AM  
Blogger Dionne said...

This was very good and very informative. My parents just moved to Michigan a few years ago and live right on the Michigan/Indiana border.

4:44 PM  

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