Michigan has rebounded -- though the economic
recovery is certainly not felt in many parts of the state -- but in the capital city
of Lansing they have a secret economic weapon: lobbyists.
Lansing follows the pattern of capital cities
across the U.S. where income gains have outstripped the rest of the economy and workforce.
In Ingham County, home of Lansing, growth in
families
earning more than $100,000 a year—as well as median family
income— have outpaced the state as a whole.
According to the Wall Street Journal, counties
encompassing the 50 state capitals fare better than the rest:
Only eight saw average wages decline from 2004-14, compared with a 30 percent decline for all other U.S. counties over the same
period. Half of the 50 capital counties have significantly lower unemployment
rates—a half percent or more—than their statewide average.
Clearly, the rebirth of the auto industry,
particularly General Motors, has helped Lansing rebound but the confluence of
money and political influence also plays a role. A WSJ news story about capital
economies focused on Lansing and found that term limits and Washington gridlock
have accompanied a jump in the number of registered lobbyists in Michigan since
2000 by more than 600, an increase of about 27 percent.
With dysfunction on Capitol Hill, large
corporations are focusing on the states to pursue changes in laws and
regulations that will boost their bottom line. Those companies expanding their
lobbying corps in state capitals include Google, Apple and Exxon.
With term limits, inexperienced Michigan lawmakers are easy prey for lobbyists seeking to lead them around by the nose, or simply ply them with biased information about issues in a way that suits their clients’ interests.
With term limits, inexperienced Michigan lawmakers are easy prey for lobbyists seeking to lead them around by the nose, or simply ply them with biased information about issues in a way that suits their clients’ interests.
As lobbying-related firms grow and prosper, a
certain hipster element comes with the territory. The WSJ notes that Lansing’s
economy and culture have blossomed:
“The money flows in and around Lansing. On
Michigan Avenue, the street
that runs into the state Capitol, new, brightly colored apartment buildings rise above the cityscape. The new units are pricey, by Lansing standards, with rents as high as $2,400 a month for a 1,200-
square-foot apartment. The average rent citywide is about $815.
“The long-vacant J.W. Knapp Building, a giant art-deco department store, is being turned into Knapp’s Centre, with 23 loft apartments
and room for a restaurant on the street level. In 2014, the area got its first Apple Store. The first local Whole Foods supermarket will open soon.
“Across the street from the capitol sits Troppo, a dimly-lit supper club that serves as a clubhouse for Lansing’s legislative contingent. Troppo is new to Lansing, too. It was originally in East Lansing near
Michigan State University but moved because the owners saw opportunity, said Nate Keusch, the restaurant’s on-site operator.”
that runs into the state Capitol, new, brightly colored apartment buildings rise above the cityscape. The new units are pricey, by Lansing standards, with rents as high as $2,400 a month for a 1,200-
square-foot apartment. The average rent citywide is about $815.
“The long-vacant J.W. Knapp Building, a giant art-deco department store, is being turned into Knapp’s Centre, with 23 loft apartments
and room for a restaurant on the street level. In 2014, the area got its first Apple Store. The first local Whole Foods supermarket will open soon.
“Across the street from the capitol sits Troppo, a dimly-lit supper club that serves as a clubhouse for Lansing’s legislative contingent. Troppo is new to Lansing, too. It was originally in East Lansing near
Michigan State University but moved because the owners saw opportunity, said Nate Keusch, the restaurant’s on-site operator.”
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