LANSING – While job losses in the manufacturing sector may have triggered residents leaving Michigan, the impact of their departure has contributed to another 15,855 jobs and $1.9 billion in economic activity lost, according to a new study by Michigan State University researchers.
The report found that in addition, the state lost $585 million in income from labor, $346 million in property income and nearly $2.5 billion in home equity value.
“When people leave town, so does their economic activity,” said Land Policy Institute Director Soji Adelaja, a lead author of the study. “This is especially true in a service economy, which depends upon people providing and needing services. The impact of these departures cuts deeper into the economy.”
The study found 63 out of the state’s 83 counties lost population between 2000 and 2008, with Wayne County losing one in every 20 residents or 100,000 people. Some people moved to other parts of Michigan, the study noted, although Wayne County’s exodus was only comparable in numbers to Hurricane Katrina’s impact on New Orleans.
The report noted strategies like promoting tourism and immigration and downsizing urban areas could lead to more residents for the state.
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