  Mrjoshua Member Username: Mrjoshua Post Number: 944 Registered: 03-2005 |
Michigan's Messy DeVos By SHIKHA DALMIA October 26, 2006; Page A18 The Wall Street Journal, op-ed DETROIT -- Besides the Tigers, the main thing on the minds of Michigan residents is the state's tanking economy. So when the state's most prominent Republican businessman entered the gubernatorial fray promising to turn things around, it should have been a home run. Instead, 10 days before the election, Dick DeVos has lost his 15-point summer lead over Jennifer Granholm, the Democratic incumbent, and is now trailing by more than eight points in most polls. The fault is not in his stars but in himself: At a time when Michigan needs economic leadership, he has so far shown little charisma, creativity -- or courage of convictions. That Michigan has become the Mississippi of the Midwest is no secret (actually, Mississippi is doing better than Michigan right now). While the rest of the country is experiencing real overall growth of 3.2%, Michigan is in a single-state recession. Its unemployment rate, at 7.1%, is twice the national average; it was the only state last year not hit by a hurricane to lose jobs. Personal per capita income is 7% below the national average. Home foreclosure rates have doubled this year. And over the last four years, 200,000 economic refugees have left the state, a trend that will only accelerate as the ongoing downsizing of the Big Three forces other auto-related industries to lay off workers. Ms. Granholm's chief strategy for dealing with Michigan's grim economic situation, comically enough, is to blame Mr. DeVos, even though the last -- and only -- time he held elected office was as a member of the State Board of Education a decade ago. She has lambasted Amway, his company, which does business in 90 countries, for opening offices in China and "outsourcing" Michigan jobs. She has accused him of personally "allowing" the sexual abuse of mentally ill elder citizens because he had a 1% stake in a publicly traded nursing home chain where some incidents were recently discovered. And just when one thought this Hollywood-starlet-turned-Harva rd-lawyer couldn't get any nastier, she did another hit job in their last debate, accusing him of tax evasion for incorporating some of Amway's overseas subsidiaries in Bermuda. "I have never seen a sitting governor run so many negative attacks against an opponent," notes Bill Ballenger, publisher of the respected non-partisan political newsletter Inside Michigan Politics. "She has few accomplishments to list so she knows that if she allows this election to become a referendum on her, she'll lose." Although Mr. DeVos, who has spent $30 million of his own money on the campaign, has recovered from his initial shell-shock and become better at deflecting such attacks, he has done little to challenge her on economic fundamentals -- her big vulnerability given that two-thirds of Michigan voters believe that the state has been going in the wrong economic direction under her. No one expects a candidate in a union state to win as a free trader. But Mr. DeVos has granted Ms. Granholm's protectionist premises. He has countered her attacks against his company's overseas operations by accusing her of not doing enough to convince Honda officials to locate in Michigan -- as if it were a governor's job to negotiate business deals. Worse, instead of staying focused on creating an attractive business climate by cutting taxes and government, his plan to make Michigan globally competitive involves opening offices in 10 countries to promote trade and tourism. The fundamental reason why not a single non-U.S. auto maker has ever opened a major plant in Michigan -- notes David L. Littmann, a senior economist at the Mackinac Center for Public Policy -- is not a lack of these offices, but that it costs too much to generate wealth in this state. Thanks to the strong union presence, Michigan's labor costs relative to productivity are the second-highest in the nation. Normally, an economy might adapt to such realities by "diversifying" -- to use a buzz word that both candidates bandy -- into non-unionized service industries. But Michigan's onerous combination of redistributive regulations and high taxes has prevented even this from happening, making it more vulnerable to the imploding auto industry. It is not surprising that a big-government careerist like Ms. Granholm has few ideas for addressing these issues beyond an old industrial policy of accelerating infrastructure-rebuilding -- "Every orange cone means a job," she beams into the TV camera! -- and issuing bonds to invest in government-picked start-ups. But for someone whose main campaign theme is that as a businessman he understands the challenges facing Michigan's businesses, Mr. DeVos's proposals, so far, are disappointing, to say the least. He recently endorsed a law raising the minimum wage, disregarding that it will contribute to growing unemployment while making it harder for small businesses to remain profitable. He does insist -- correctly -- that lowering Michigan's tax burden, which is much above the national average on a per capita basis, ought to be priority No. 1. But apart from calling for the repeal of an already repealed Single Business Tax that assessed businesses on their payrolls as opposed to profits, his only other suggestion so far is scrapping the Personal Property Tax. This tax discourages businesses from making capital investments by taxing new machines, equipment and furniture. But the problem is that it is one item in a laundry list of petty programs -- not embedded in any consistent policy vision. While Mr. DeVos's failure to enunciate such a vision is likely calculated to position him as a moderate, in reality it is only making him less believable to independent voters. Meanwhile, his conservative base is dispirited because he has diluted his commitment to school choice and is opposing a ballot proposal banning the government from using racial preferences. "He has to stop playing safe and take bolder positions," warns Tim Shields, a GOP political consultant. "Otherwise, his base might well decide that it does not make a difference who gets elected and stay home." But articulating a vision is not just about attracting voters, it is also about obtaining a mandate to govern successfully. A vision will give him the clout and clarity, should he squeeze out a late-inning comeback, to resist the inevitable calls by Democrats to replace the business tax cuts with new taxes, and to insist, instead, on spending restraint to unshackle Michigan's economy. Ms. Dalmia is a senior analyst at the Reason Foundation, a free-market think tank. | ||
Frenchman_in_the_d Member Username: Frenchman_in_the_d Post Number: 63 Registered: 08-2006 |
I'm going to be honnest, I am definitely more of a Democrat than Republican, eventhough the line between both is somewhat blurred. Nevetheless, this article manages to permeate the sense of exasperation in MI. Seriously, Granholm has done nothing and will do nothing to help MI. MI DOES need a change. On the other hand, I really don't see what DeVos can change: he until now, just like Granholm, proposed nothing, no solutions. It's really sad that this campaign has turned into a nasty "hin, not me" debate. Not only is Detroit nationally known to be a decaying helpless city, but the state is suffering the same image, and the MI gubernatorial campaign is now nationally known to be, probably, one of the most pathetic... How sad... really. | ||
Treelock Member Username: Treelock Post Number: 167 Registered: 03-2005 |
Free-marketers make my colon clench. | ||
Spartacus Member Username: Spartacus Post Number: 150 Registered: 07-2005 |
Granholm's ads regarding Bermuda and China are an embarrassment. | ||
Chitaku Member Username: Chitaku Post Number: 867 Registered: 03-2006 |
So is Mike Douchard's with the cardboard Stabenow (Stabeneau?) | ||
Barnesfoto Member Username: Barnesfoto Post Number: 2651 Registered: 10-2003 |
much advertising, and most of television in general is an insult to one's intelligence. | ||
Cambrian Member Username: Cambrian Post Number: 228 Registered: 08-2006 |
The tone of the article indicates we need to transform Michigan from it's Archaic Union shop mentality to the more modern the employee is a free agent who assumes all responsibilities and the boss owes him nothin' mentality. Shoulda known it was from the Wall Street Journal. As if any and every company or business that ever comes to Michigan is automatically going to be a Union shop. I read frequently in my teamster's newsletter about many different types of businesses unionizing all the time in all other 49 states. No companies are fleeing from those states if you listen to DeVos’s ads about how great the job market is everywhere but here. Since the union movement started in Michigan, we get attached with the stigma, and the corporate right wing power structure just wants to continue making us pay for the 1930s and 40s, when all our factories were successfully unionized. If for nothing else, Jenny winning the election will send the big political machine a message. Take your Wal Mart biz model and stick it up where the sun don't shine! | ||
Detroitnerd Member Username: Detroitnerd Post Number: 710 Registered: 07-2004 |
Technically, those aren't Granholm's ads. | ||
Spartacus Member Username: Spartacus Post Number: 151 Registered: 07-2005 |
If they're not her ads I will revise my statement: her position on Amway's business deals in China and her accusations about Bermuda are an embarrassment. | ||
65memories Member Username: 65memories Post Number: 298 Registered: 10-2003 |
Devos' ads aimed at women are the real embarrassment. | ||
Bob Member Username: Bob Post Number: 1204 Registered: 11-2003 |
But as much as Granholm/Democratic special interests ads are an embarrassment, so it that fact that DeVos is covering up the fact he is a Conservative, and an extreme one at that. Name one DeVos ad where he even says he is a Republican? I wish DeVos would just state how he really feels so voters can make a decision on who he really is, and then compare that to the real Granholm and we still do not have enough to buy a cup of coffee, but at least people will have a better idea of what they are getting into. "Will the real Dick DeVos please stand up, please stand up, please stand up." | ||
Supersport Member Username: Supersport Post Number: 10798 Registered: 10-2003 |
This right here says it all. I find it an embarassment that she is my governor. Makes me sick to my stomach to think that I actually voted for her last election. DeVos ads on the other hand, they speak the truth on the state of Michigan. I have yet to see an ad from their party that is not telling nothing but facts. Considering Granholm lacks little to show for during her 4 years of office, she has to turn to throwing out false accusations as an act of desperation. I'd also like to note that everybody in this state STILL seems to point to the "down economy" right now as for what is to blame, and yet the only other states that have not been seeing growth were those hit by hurricanes. While being a manufacturing state can take some of the blame, losing jobs in this sectoris nothing, it's been happening for over 50 years. To go to bat for this industry, claiming D.C. is to blame for not coming to bat for Michigan is laughable at best. Especially when the same jobs, both manufacturing AND technical such as Engineering and Design are plentiful in other states. I have been getting a growing number of calls for out of state jobs. Had I pursued any of them I am confident that I wouldn't be without work right now. These aren't union jobs, so shut the hell up for those who say the unions are to blame. The facts are there, Granholm is a good talker and nothing more. It will be a shame if this state re-elects her, as Michigan will continue to fall even further behind. I was sad to hear yesterday that a friend I know will be leaving Detroit, moving to California, as a better opportunity came up for this person and their family. In the past, I may have gave this individual some flak, but then reality hit. People have to do what is best for them and their family, and right now, that means leaving Michigan. Maybe instead of a "Cool Cities" initiative our governor should have been working on a "Cool Jobs" plan for the state. | ||
Bob Member Username: Bob Post Number: 1205 Registered: 11-2003 |
The sad thing is if the GOP had enough insight to actually put up a candidate who is actually a good one, they would be a shoo in versus Granholm. But instead they put the absolute worst candidate they could, one whose family has a proven track record of pushing their personal religious beliefs on others. Whomever gets elected betweem the two we are screwed. Granholm will be locking heads with the Republican legislature, much like the past four years, while DeVos will have the state mired in lawsuits by pushing his personal religious agenda, and cutting this state down so we have nothing left of the schools, services, and are worse than a southern state. The way I see it either way we are screwed. We need a candidate like Mitt Romney from Mass. who will work with both sides and do what it takes to get the job done. | ||
Bussey Member Username: Bussey Post Number: 287 Registered: 12-2003 |
He has countered her attacks against his company's overseas operations by accusing her of not doing enough to convince Honda officials to locate in Michigan -- as if it were a governor's job to negotiate business deals. You used this article to help you bash Granholm but, according to this take from it, should you be bashing her at all? What could she have done to offset our declining manufacturing base? | ||
Sticks Member Username: Sticks Post Number: 124 Registered: 08-2005 |
Couple things. One, isn't the Senate controlled by the GOP right now? That can make it tough for a governor of the opposing party to get things through. Even still, not quite sure how many ideas she's put out there. And two, the national unemployment rate is 3.5%? Smells fishy to me. So where's all the states averaging 1.5% - 2.0% unemployment rates to make up for the states greater than 3.5%? | ||
Bpjeff Member Username: Bpjeff Post Number: 14 Registered: 01-2006 |
Actually, according to the Dept of Labor the National Unemployment rate is 4.6% in September. Alabama 3.3% in Sep 2006 Alaska 6.6% in Sep 2006 Arizona 3.7% in Sep 2006 Arkansas 5.2% in Sep 2006 California 4.8% in Sep 2006 Colorado 4.4% in Sep 2006 Connecticut 4.7% in Sep 2006 Delaware 3.7% in Sep 2006 D.C. 5.9% in Sep 2006 Florida 3.2% in Sep 2006 Georgia 4.5% in Sep 2006 Hawaii 2.5% in Sep 2006 Idaho 3.3% in Sep 2006 Illinois 4.4% in Sep 2006 Indiana 5.1% in Sep 2006 Iowa 3.4% in Sep 2006 Kansas 4.3% in Sep 2006 Kentucky 5.3% in Sep 2006 Louisiana 3.7% in Sep 2006 Maine 4.7% in Sep 2006 Maryland 4.0% in Sep 2006 Massachusetts 5.1% in Sep 2006 Michigan 7.1% in Sep 2006 Minnesota 3.8% in Sep 2006 Mississippi 7.2% in Sep 2006 Missouri 5.0% in Sep 2006 Montana 3.6% in Sep 2006 Nebraska 3.1% in Sep 2006 Nevada 4.0% in Sep 2006 New Hampshire 3.2% in Sep 2006 New Jersey 5.2% in Sep 2006 New Mexico 4.2% in Sep 2006 New York 4.4% in Sep 2006 North Carolina 4.9% in Sep 2006 North Dakota 3.1% in Sep 2006 Ohio 5.3% in Sep 2006 Oklahoma 4.0% in Sep 2006 Oregon 5.4% in Sep 2006 Pennsylvania 4.6% in Sep 2006 Puerto Rico 10.8% in Sep 2006 Rhode Island 5.2% in Sep 2006 South Carolina 6.4% in Sep 2006 South Dakota 3.2% in Sep 2006 Tennessee 4.6% in Sep 2006 Texas 4.8% in Sep 2006 Utah 2.8% in Sep 2006 Vermont 3.7% in Sep 2006 Virginia 3.2% in Sep 2006 Washington 5.3% in Sep 2006 West Virginia 5.4% in Sep 2006 Wisconsin 4.7% in Sep 2006 Wyoming 3.6% in Sep 2006 | ||
Spacemonkey Member Username: Spacemonkey Post Number: 108 Registered: 03-2006 |
Dick DeVos before he dicks you. | ||
French777 Member Username: French777 Post Number: 7 Registered: 10-2006 |
dick DeVos sucks i hope him and his family pack up any leave for china and Mexico so they can see all the Michigan jobs he has taken away | ||
Track75 Member Username: Track75 Post Number: 2417 Registered: 10-2003 |
I'd say that both campaigns insult our intelligence but based on several recent threads I think the campaigns are accurately aimed at Joe Michigander's typical 6th-grade reasoning level. Granholm's been a dud. She'll continue to be a dud. DeVos is a very weak candidate that makes Posthumus look exciting. To be trailing the incumbent given our dire economic situation is proof of how bad DeVos has done. What's his plan? Dunno. Michigan's crappy economic situation isn't mainly caused by the government or the Governor, and the actions of the next Governor will only do a little one way or the other unless a really radical change is made. I don't see that happening -- Granholm can be expected to weakly pursue moderate change and DeVos (as far as I can tell, the man's still a mystery to me) probably isn't up to the task even if he has a "plan". Granholm has no meaningful business experience and it shows. DeVos inherited an executive position at a dodgy company and seems to have built a small closet organizing company on the side. Advantage DeVos, running even a scammy company is valuable business experience, but does he have the judgement and leadership to tranlate that into something helpful to the state? Dunno. So we'll either get a pleasant but ineffectual governor or one whose competency and vision are TBD. Quite the choice. BTW, good op-ed Mr. J. This was a nice factoid:
So we got that goin for us. | ||
Yvette248 Member Username: Yvette248 Post Number: 16 Registered: 10-2006 |
Can someone please tell me how being a business man will help you be a better political figure? Corporate America and politics/government are two ENTIRELY different things, requiring two entirely different skill sets. That's like saying, because you build cars, you can build buildings. Umm, isn't one manufacturing and one construction? Am I the only one who is wondering how is he connecting the dots???? | ||
Track75 Member Username: Track75 Post Number: 2421 Registered: 10-2003 |
If you believe that government can do things to help or hurt the business climate then experience as a business person is good for knowing what government should and shouldn't do to aid business growth and job creation. Leadership and management skills are generally transferable as well. | ||
Bob Member Username: Bob Post Number: 1209 Registered: 11-2003 |
There was a great quote in the Detroit News today. It said we have a politician trying to act like a businessman, and a businessman trying to act like a politician. |
