Michigan's Revenue Outlook: Key Takeaways and Challenges Ahead
Michigan officials remain optimistic about the state's economic growth and resilience despite lowering revenue forecasts due to recently approved tax changes. State tax revenues are still running above pre-pandemic levels, allowing for targeted tax relief. Michigan is close to fully recovering all jobs lost during the pandemic, with the auto sector expected to cushion manufacturing jobs through a possible mild recession. The Detroit Three's share of car and light truck sales is projected to grow, but inflation is eating up higher wages. Michigan's aging population and low labor force participation make it tough to grow employment.
