MIDLAND, Mich. — Gov. Gretchen Whitmer laid out many familiar themes in her sixth State of the State: Give taxpayer dollars to favored groups while transferring the costs to everyone else. Despite bragging about lowering costs, Gov. Whitmer continues to stand in the way of Michigan taxpayers getting a tax cut.
“She’s making a mistake that Economics 101 students can’t make, which is thinking that things are free,” said Michael LaFaive, senior director of fiscal policy at the Mackinac Center for Public Policy. “This is just an attempt to transfer wealth to those the governor thinks are more deserving than others.”
Many of the governor’s policies amount to picking winners and losers, from giving higher rebates for electric cars made by unions to touting corporate welfare deals for select businesses.
“Handing out favors to select firms never works to improve the state economy,” said James Hohman, director of fiscal policy at the Mackinac Center. “Lawmakers should instead join an interstate compact to eliminate select subsidies rather than expand the preferences lawmakers give to a handful of businesses.”
Another focus was expanding Michigan Reconnect so that taxpayers cover the cost of two-year community college for all high school graduates. The Mackinac Center estimates that it could cost taxpayers $800 million a year if all high school graduates chose to attend community college.
“Gov. Whitmer’s logic on free college is simply inconsistent,” said Jennifer Majorana, Ph.D., policy analyst with the Mackinac Center. “Despite acknowledging that there’s no correct path for everyone, she’s prepared to commit taxpayers to hundreds of millions of dollars annually to send high school graduates down her preferred path by radically expanding the unproven Michigan Reconnect program.”
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