Detroit Regional Chamber > Detroit Policy Conference > Michigan’s ‘House is on Fire’ Amid Prosperity and Population Crises

Michigan’s ‘House is on Fire’ Amid Prosperity and Population Crises

January 11, 2024

Key Takeaways

  • With dropping birth rates and negative net migration leading to declining revenue, Michigan is losing population while getting poorer.
  • Because this is a long-term crisis, we cannot think that success will happen overnight; this is going to take time.
  • The Growing Michigan Together Council created a three-element cycle of virtuous growth that, if implemented, can reverse the negative cycle Michigan finds itself in today.

View the session recording below.

Michigan is losing population while it is getting poorer – dual crises that strike the heart of the 11th Annual Detroit Policy Conference’s theme of “Growing Our Population.” 

Detroit Regional Chamber President and Chief Executive Officer Sandy K. Baruah kicked off the event with a “house-on-fire” data presentation, setting the backdrop for the conversation built around the work of the Growing Michigan Together Council.  

He highlighted how declining birth rates and negative net migration are leading to fewer people paying taxes and fewer skilled workers for employers. This ultimately results in declining revenue for investment and creates a negative cycle. One result is a major drop in household incomes in Michigan, which used to exceed the national average by a considerable margin. 

“If we don’t fix this cycle, we won’t fix Michigan,” said Baruah.  

That Council’s three-element cycle called for: 

  • Developing an economic growth plan that establishes Michigan as the innovation hub of the Midwest and puts the state in the Top 10 for median income. 
  • Creating a lifelong K-14 education system that makes the state an education leader. 
  • Fostering thriving, resilient communities that attract young talent and improve net talent migration. 

“What the Council created was a three-element cycle of virtuous growth…that, if implemented with fidelity and success, has the potential to reverse the negative cycle we find ourselves in today,” Baruah said. 

The two Chairs of the Growing Michigan Together Council, former U.S. Ambassador John Rakolta Jr. and Wayne State Board of Governor Vice Chair Shirley Stancato, followed Baruah on stage to set the tone for the day, a bipartisan dynamic that must continue to address Michigan’s population challenges. 

“This is a crisis of prosperity and population in the long-term making,” said Rakolta, who served on the bipartisan Council, which Gov. Gretchen Whitmer announced at the 2023 Mackinac Policy Conference.  

“There is no person, political party, or sector that we can blame,” said Baruah. “If you’ve lived in Michigan over the last 50 years … we all played a role in this, and we all have our own level of responsibility. Because this is a long-term crisis, we can’t think that success overnight … this is going to take time. If this going to take decades, I suggest we start now.”