MIDLAND, Mich. — Michigan's performance in promoting upward mobility gets a mixed review in a study released today by the Mackinac Center for Public Policy, in partnership with the Archbridge Institute. “Social Mobility in Michigan: Where do we go from here?” identifies public policy barriers to improving one’s life and recommends reforms to address them.
Michigan ranks 30th in the United States for social mobility, with middling scores across four pillars: entrepreneurship and economic growth, institutions and the rule of law, education and skills development, and social capital.
One notable strength was Michigan’s regulatory environment. The state ranks ninth nationally for regulation stringency, which suggests that businesses in Michigan face fewer burdensome restrictions than businesses in most states. Michigan also performs well in measures of parental engagement, with above-average scores for activities such as reading to children, attending their events, and having regular family meals.
But Michigan’s business environment is struggling. The state comes in 29th in entrepreneurial activity, with declining growth in the number of firms and in workforce participation at startup companies. Michigan ranks below average in K-12 student achievement and school choice availability. The state also has one of the lowest community college graduation rates in the nation, ranking second-to-last nationally. Just 22.5% of students graduate within six years.
The study proposes several actionable policy changes to boost mobility:
Enhance Education Quality and Access: Expand school choice options and improve public school accountability to ensure students have access to high-quality education.
Foster Business Dynamism: Reduce corporate tax rates and eliminate unnecessary barriers to entrepreneurship in order to encourage new business creation and investment.
Build Community Engagement: Promote policies that increase volunteerism, charitable giving, and participation in local organizations.
"Michigan is a middling state in terms of social mobility, and its citizens deserve better," said Justin T. Callais, chief economist at the Archbridge Institute and author of the study. "In the short term, policies should address the poor state of business dynamism, such as overly excessive taxes. More fundamentally, if Michigan wants to be a leader in mobility in the future, it must address school quality and education freedom, so that the next generation of children can realize better opportunities than they are being offered now."
View the full report here.
The Mackinac Center for Public Policy is a nonprofit research and educational institute that advances the principles of free markets and limited government. Through our research and education programs, we challenge government overreach and advocate for a free-market approach to public policy that frees people to realize their potential and dreams.
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