A Tale of Two Recessions

Michigan actually lost more jobs in 2001 than 2008

Michigan's economy in the 21st Century is defined by two major recessions: the one in 2001 and the most recent in 2008.

But the tale of two recessions is a cautionary one that says public policy that discourages business can play as big a part in economic down swings as plant closings, said James Hohman, assistant director of fiscal policy at the Mackinac Center for Public Policy.

Consider that in the first three quarters of 2001, Michigan gained 808,142 jobs and lost 935,458. However, in the last quarter of 2008 and the first two quarters of 2009, Michigan lost 883,412 jobs, about 52,000 fewer jobs lost than eight years earlier. But Michigan only added 577,743 jobs in those three quarters in 2008-09, about 29 percent fewer jobs added than in 2001.

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Job stifling legislation or regulations can be just as damaging to the economy as a plant shuttering, Hohman said.

"Recessions are caused just as equally by jobs not being created as much as people losing their jobs," Hohman said.

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See also:

Michigan Residents Doing Better Financially

Michigan's Increased Unemployment the Result of Growing Labor Force

A Look at Michigan's June Spike In Unemployment Rate

Michigan Radio Doubles Down on 'Anemic' Job Growth Claim

Majority of Fastest-Growing U.S. Cities Are In Right-to-Work States

Michigan's Job Growth Is More Than Just Auto-Related

Michigan's Gross Domestic Product Grows In 2012

Despite Media Claims, Michigan Among Highest Job Growth States


Related Articles:

Reasons to be Optimistic Abound in Michigan Economy

Government, Heavy Industry No Longer Dominate Michigan Economy

WikiLeaks: Granholm's Obama Job Application Oversold Clean Energy Jobs

Legislature Considers Reopening a Closed Business Subsidy Program

An Evaluation of Michigan's 21st Century Jobs Fund

Grand Rapids: Michigan's Boomtown

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