absolute michigan :: all michigan, all the time

Enter Keyword:

Auto Industry Losses Will Dampen Economy

Yesterday Booth Newspapers reported that Thomas Klier, a senior economist with the Federal Reserve Bank of Chicago said "I would label this structural change. This is not a cycle; this is something else."

Klier told the state government panel that sets budget revenue estimates that Michigan is more, not less, reliant on the Big Three auto industry than it was just five years ago. In the past three years, 70% of the national job loss in automobile parts manufacturing and assembly has occurred in Michigan. The state has lost 30% of its manufacturing employment in the past six years (240,000 jobs), and it is estimated that we will lose another 50,000 in the next two years.

Read Economy will sputter at least until 2008, economists say from mLive

Posted/updated May 19, 2006
by Andrew McFarlane (Absolute Michigan)