Tuesday, April 21, 2009
Michigan More Than Doubles Federal Contract Revenue Since 2004
Michigan’s economic troubles are well documented and widely known. But did you know that the state’s federal contracts have doubled in dollar terms since 2004? The pace has been led by General Motors and Chrysler, and last year, businesses in the state performed $8 billion worth of contracts.
The state now ranks 19th in the nation in federal contract revenue, even as Michigan sets the pace and essentially defines the conversation of unemployment in the U.S. Most of Michigan’s contracts involve vehicles of all sorts – military mostly.
State leaders still promote these federal contracts but there is no proof that these do much at all for an economy overall. Does this also paint a picture of government employment overall boosting an economy? Of course it does. We are just rarely confronted with the stark reality – government does not create jobs, or enough to make a difference. But it can create job opportunities.