The Newsletter of the Mackinac Center for Public Policy • www.mackinac.org • Winter 2005 County Tax Acceleration: Calling a Duck a Duck n September 2004, legislators seeking to end it quacking was Jack McHugh. Ia substantial budget deficit without spending McHugh is a Mackinac Center legislative cuts were running out of rocks to look behind. analyst. While following the Senate vote in early They had taxed the smokers, gamblers and bad September, he had examined the arguments of drivers. They had used up various government officials regarding whether nearly all the accounting this proposal, which forced taxpayers to turn over gimmicks. And still they their money earlier, was a tax increase. McHugh were short $183 million. had an accounting background, and he quickly So the state Senate noticed that some basic accounting tools were dug into the circular file missing from the public analyses of the bill. and retrieved an idea that Gov. So he adopted the perspective of double-entry had originally accounting (a standard, private-sector analytical The governor took proposed in March: Shifting the tool) and readily determined that the proposal exception to the Mackinac Center’s state’s county tax collection date was not only a one-time tax hike, but a hike whose analysis, but offered no forward from December to July. rate could be quantified at 16.3 percent, even substantive rebuttal. The Senate passed the bill 23 to 12 on when one excluded “time value of money” calcula- Sept. 8. The governor remained supportive, and tions. Taxpayers would experience this tax as a the state House leadership embraced the idea. decline in their net worth, since their liability for But a funny thing happened on the way to the property taxes would suffer a one-time increase House: a duck quacked. The man who first heard see “County Tax Acceleration,” p. 4

In Defense of Outsourcing: Bearding the Lion CONTENTS eptember 2004 was a hard time to defend the outsourcing with Mark Gaffney, president of the President’s Message 2 Soutsourcing of service jobs to foreign coun- State AFL-CIO, at the Michigan Chamber Loss of a Giant 3 tries. Presidential candidate and Lou of Commerce 2004 Future Forum. This high-pro- Dobbs of CNN had assailed the practice as kill- file debate followed Griswold’s speech on out- Media Impact 3 ing the American Dream; national politicians had sourcing earlier that day at the state House Office Debate Workshops 6 lambasted the chairman of the President’s Council Building during a Mackinac Center event that was Riecker Tribute 8 of Economic Advisors for saying outsourcing was attended by journalists, state policy staff and state The Visionary 8 “probably a plus for the economy”; and more than legislators. The same morning, the Center had Gadola Award 9 30 state legislatures, including Michigan’s, were released a Policy Brief titled “Outsourcing Benefits considering policies to penalize the practice. Michigan Economy and Taxpayers,” written by Honoring Fitzsimmons 9 But the Mackinac Center recognized these Griswold and Mackinac Center Adjunct Scholar Free-Market political actions could hurt Michigan by destroy- Dale Buss. Fundamentals 10 ing the trade necessary to the state’s economy, so Publication of the Policy Brief was accompa- Free Market Library 11 we responded head-on. nied by strong media outreach. A Detroit Free MichiganVotes.org 12 On Sept. 16 in Ann Arbor, Mackinac Center Press article the same day included Griswold’s Adjunct Scholar and Cato Institute Director for views on outsourcing and state job growth. Trade Policy Studies Dan Griswold debated see “Outsourcing,” p. 10

“Last year, the Midland-based Mackinac Center — a highly respected think tank — did a 25-year assessment of the Headlee Amendment. Among its conclusions, ‘Without the restraints put on government by the Headlee Amendment, Michigan workers and families would be struggling today to make do with less.’” — Oakland www.mackinac.org Press editorial on |the passingWinter of2005 Richard 1 H. Mackinac Headlee, Nov Center. 10 IMPACT PRESIDENT’S MESSAGE BOARD OF DIRECTORS D. Joseph Olson, Chairman Edward C. Levy Jr. Senior Vice President and General President, Edw. C. Levy Co. Counsel, Amerisure Companies Rodney M. Lockwood Jr. Lawrence W. Reed, President President, Lockwood Mackinac Center for Public Policy Construction Company, Inc. Impact: What Is Seen, Joseph J. Fitzsimmons Joseph P. Maguire Retired President, President, Wolverine University Microfilms Development Corporation and What Is Not Seen Hon. Paul V. Gadola Richard D. McLellan U.S. District Court Judge Attorney, Dykema Gossett Richard G. Haworth James M. Rodney major front-page story in an important daily newspa- Chairman of the Board, Chairman of the Board, Haworth, Inc. Detroit Forming Inc. A per prompted an enthusiastic supporter to phone me Mara M. Letica Linda K. Rodney Executive Vice President, Attorney at Law, Law Offices recently. General Counsel and Secretary, of Linda K. Rodney, P.C. “What a great story that was!” he exclaimed. “All the right Letica Corp. angles for a change! They didn’t leave out the important stuff that usually gets ignored in the mainstream media. It read BOARD OF SCHOLARS Dr. Donald Alexander Dr. David Janda like the Mackinac Center wrote it. You’ve been almost alone Western Michigan University Institute for Preventative Sports Medicine in saying these things for years. But how come they never Dr. William Allen Michigan State University Annette Kirk cited you in the story?” Russell Kirk Center Lawrence W. Reed Dr. Thomas Bertonneau for Cultural Renewal President Writer and Independent Scholar I would answer his question by citing the inscription on Dr. Robert Kleiman Dr. Brad Birzer Oakland University a paperweight that I purchased years ago at the Ronald Reagan Presidential Hillsdale College Dr. Dale Matcheck Library. The words are those of the late president himself: “There’s no limit to Dr. Peter Boettke Northwood University George Mason University what a man can do or where he can go if he doesn’t mind who gets the credit.” Dr. Paul McCracken Dr. Theodore Bolema University of Michigan Law Offices of Theodore Bolema Citations of the Mackinac Center are always nice, and they are something Charles Meiser Dr. William Browne Lake Superior State University we value. We put them to good use when we get them, because they help Central Michigan University Glenn Moots us provide you with visible proof that we’re having an impact. Dr. Stephen Colarelli Northwood University Central Michigan University But we’re not in business to promote the Mack- Dr. Robert Murphy Andrew Coulson Hillsdale College inac Center. Instead, we aim to move Mackinac Center for Public Policy Dr. George Nastas III the climate of opinion among policy- Dr. Keith Crocker Marketing Consultants University of Michigan Dr. John Pafford makers, legislators, media and the public Robert Crowner Northwood University Eastern Michigan University (ret.) toward solving problems through less Dr. Mark Perry Dr. Richard Cutler University of Michigan - Flint government and more private initiative. University of Michigan (ret.) This paper- Dr. Leonard Plachta That work involves not just solid research, weight sits on my Robert Daddow Central Michigan University (ret.) desk at the Center. Oakland County Department but personal persuasion that doesn’t always of Information Technology Gregory Rehmke Economic Thinking/ Dr. Stephen Dresch E Pluribus Unum Films put our name up in lights. Forensic Intelligence International, LLC Dr. Steve Safranek These unseen advances are both indispensable and effective. Yes, they Ave Maria School of Law Dr. Richard Ebeling may mean that someone else becomes the public champion or the quotable Foundation of Economic Louis Schimmel Jr. Education Municipal Financial source for an idea that originated here, but the important thing is that the job Consultants, LLC Dr. Jefferson Edgens gets done. Morehead State University Dr. Howard Schwartz Oakland University Think about it. The progress of any effort to influence opinion (and ulti- Dr. David Felbeck University of Michigan (ret.) James Sheehan Deutsche Bank Securities mately, policy and behavior) cannot rest exclusively upon a few. It must rely Dr. Burton Folsom Hillsdale College Rev. Robert Sirico instead upon a steady percolation of ideas that become widely accepted and Acton Institute for the Dr. Wayland Gardner Study of Religion and Liberty acted upon by many. Even the original source of those ideas is not important, Western Michigan University (ret.) Dr. John Taylor since it’s the ideas themselves that matter most. Dr. Wolfgang Grassl Wayne State University Hillsdale College Indeed, sometimes the best way to persuade someone is to simply and Dr. Richard K. Vedder John Grether Ohio University tactfully plant a seed. If they then proceed to the right conclusion thinking it Northwood University Prof. Harry Veryser Jr. Dr. Robert C. Hanna Walsh College through on their own, they will be more confident advocates than if you had Hillsdale College John Walter, Jr. beaten them up with “your” idea. Dr. Dale Haywood Dow Corning Corporation (ret.) Northwood University At almost any moment of any day at the Mackinac Center, people are work- Dr. William Wilson Dr. Michael Heberling Economic Consultant ing on a project or are engaged in a conversation that will never produce a Baker College Dr. Martin Wing news clip or a sound bite mentioning us by name. Nevertheless, they are gener- Dr. Ormand Hook Kettering University Mecosta-Osceola ating impact by providing a reporter with information that helps shape a story; Intermediate School District Dr. Gary Wolfram Hillsdale College Robert Hunter giving a local official a helpful tip that changes a policy outcome; supplying a Mackinac Center for Public Policy student with perspectives that undo hours of biased harangues in the class- Prof. Harry Hutchison room; or providing a CEO with ideas for a speech that reaches an important Wayne State University audience. The examples are endless. News stories, editorials, speeches and water-cooler conversations are regularly influenced by others who go unnamed. We don’t mind being those “others,” because we always try to remember what President Reagan’s remark Mackinac Center for Public Policy 140 West Main Street • P.O. Box 568 suggests: The advocates whose ideas go the furthest are the ones who do their Midland, Michigan 48640 work because they believe in it — not because they seek glory or recognition. (989) 631-0900 • Fax (989) 631-0964 www.mackinac.org • [email protected]

Mackinac Center IMPACT is a quarterly publication of the Mackinac Center for Public Policy, a nonprofit, nonpartisan, tax-exempt research and educational organization classified under section 501(c)(3) of the IRS code. Christopher F. Bachelder Daniel E. Montgomery Thomas A. Shull Editor Graphic Designer Associate Editor Mackinac Center IMPACT 2 2 Summer Winter 2002 2005 | | www.mackinac.org www.mackinac.org www.mackinac.org | Winter 2005 3 Mackinac Center IMPACT A Giant of Michigan’s Political History uesday, Nov. 9, 2004, marked the passing of a great man and a good friend, we became Tof Michigan businessman and citizen-states- determined that the news of Dick’s passing not man Richard H. Headlee, whom Mackinac Center be dominated by quibbling and bland summaries. President described as “a giant of So when the Headlee family called early on Nov. 9 Michigan political history.” In comments made to to tell us the news, we were ready, issuing a news the media that day, Reed observed, “Every state release and immediately posting Reed’s tribute to citizen who believes in limited, responsible and Dick on our Web site. accountable government mourns the loss of a Within hours, The , Detroit’s genuine hero.” WJR, MIRS, the , and dozens of Dick Headlee left a deep imprint on the newspapers across the state were producing sto- political affairs of late 20th century Michigan. He ries that included the Mackinac Center’s appraisal. famously championed the 1978 state constitu- These stories, to our relief, captured the magni- tional amendment that restrained taxation and tude of Dick’s civic achievements, his personal unfunded mandates, giving Michiganians, as Reed integrity and his deep love for people, regardless wrote, “a powerful shield in the battle to restrain of their political philosophy. The Center also government excess.” He continued thereafter to distributed comments from Dick’s son Howard, at Richard H. Headlee encourage reform, and he was instrumental in the his request, providing the Michigan media access 1992 drive for term limits in state government. As to the sentiments of Dick’s family in Utah. Reed, a member of the 1993 Headlee Amendment We’ll remember Dick, in Reed’s words, as “a Blue-Ribbon Commission, noted, “He lost a close living example of the ancient republican ideal: race for governor in 1982, but in other ways, he the citizen who sets down his plow to put right governed much of Michigan politics for decades.” what is wrong and serve his community.” We once The Center had heard of Dick’s declining again extend our sympathies to the Headlee family health in October, and as we pondered the loss — and we rejoice with them in a life well-lived. I MEDIA IMPACT Exposing a Hidden Tax Hike and Protecting the Economy: Bad government policies resisted — and a good man remembered • An editorial in The Wall Street lar stories in other major state newspapers and Journal took issue with the periodicals and was dubbed an “excellent Web ’s “African site” by a Detroit Free Press columnist. (See Town” proposal, which would related article on page 12.) have instituted race-based restric- • Michigan’s recent economic performance was tions on municipal grants and highlighted by the National Review Online incentives to local businesses. The Edition, which attributed the lackluster results editorial included a quote from to a series of tax increases and a failure to sig- Executive Vice President Joseph nificantly cut state spending. Citing Mackinac Lehman, who noted, “If you tried Center research, an analyst for the National to design a policy to drive jobs see “Media Impact,” p. 5 and capital out of Detroit, Detroit Mayor cited our research in a January televised speech explaining his proposed African Town would be it.” budget cuts: “The Mackinac Center for Public Policy did • Michael LaFaive was quoted Legislative Analyst Jack McHugh generated a wave of media attention by not mince words in 2001 when it said the Motor City demonstrating that Gov. Jennifer Granholm’s plan to accelerate the collection must trim its bloated and wasteful budget.” in widely published reports of county property taxes was a tax increase. (See related story on page 1.) criticizing the Michigan Eco- Among the more prominent examples of the Center’s impact as this plan was considered in the Legislature were the following: nomic Development Corporation’s expen- • Appearances on a number of talk-radio programs, including the Sept. 13 diture of $250,000 for security costs at the Frank Beckmann Show on WJR in Detroit. Ryder Cup golf tournament. LaFaive called • Publication of a Sept. 15 op-ed in The Detroit News definitively demon- the taxpayer subsidy of the profitable PGA strating that the proposal was a tax hike. event “unnecessary and unfair.” • Numerous citations in news stories and editorials, including support on the issue from the editorial pages of the Sept. 15 Detroit News and the Sept. • The Flint Journal cited MichiganVotes.org 14 Oakland Press. as the source of its information for a • The governor’s pointed, explicit and public denial that the accelerated review of the missed legislative votes of schedule amounted to a tax increase — a dubious assertion that gener- ated front-page coverage in the Sept. 15 Detroit News and contributed to a several members of the Michigan Legisla- public backlash against the proposal. ture. MichiganVotes.org generated simi-

Mackinac Center IMPACT 2 2 Summer Winter 2002 2005 | | www.mackinac.org www.mackinac.org www.mackinac.org | Winter 2005 3 Mackinac Center IMPACT County Tax Acceleration from page 1 that would never reverse itself. Before going public with his conclusions, McHugh reviewed the analysis with respected economists at other organizations. David Lit- tmann, chief economist at Comerica Bank said that this was “a completely accurate assessment” and suggested that McHugh share it with mem- bers of the press, who were “desperate to find a cogent analysis” of the proposal. This was an understatement. McHugh’s analy- sis was complete on Friday, Sept. 10. He spoke to Michigan Public Radio the same day, and by Sunday, Sept. 12, The Detroit News was already alluding to the Mackinac Center’s conclusion that the proposal “represents a 16.27 percent county property tax boost over three years.” The next morning (Monday, Sept. 13), McHugh appeared on WJR radio’s Frank Beckmann show in Detroit, and his analysis was formally published on the Center’s Web site (“County Tax Shift: It Quacks, It Waddles; It’s a Duck”). Within the next 24 hours, McHugh was being cited in news stories around the state, and he was invited to contribute to a “pro-con” debate with a state senator over the pro- posal in the Wednesday, Sept. 15 editorial page of The Detroit News. Thus, within days, state news coverage had shifted from describing the county tax accelera- tion as a “complex proposal” involving tax dates to a dispute over whether it constituted a property tax hike. The Oakland Press (Tuesday, Sept. 14) and The Detroit News (Sept. 15) ran editorials decrying the “16.3 percent tax hike,” and even those editors who favored the proposal began to acknowledge that citizens would pay more. McHugh’s analysis had swiftly become the yard- stick by which the proposal was judged. Lansing’s political establishment fought back. in Lansing, where their consideration can be In an early salvo on Sept. 10, a spokesperson postponed to allow more arm-twisting. Although for the Department of Treasury publicly called the Mackinac Center issued a news release listing McHugh’s analysis “accounting mumbo jumbo.” straightforward spending cuts that would have On Tuesday, Sept. 14, Gov. Granholm held a closed the $183 million budget deficit, the Lansing press conference and said McHugh needed “to lobbying juggernaut went on full throttle, and on go back to remedial math.” Wednesday, Sept. 22, the state House passed the Neither of these critiques contained a substan- tax hike by a single vote. To see how your repre- tive rebuttal. Instead, the Granholm administration sentative voted, go to www.MichiganVotes.org. essentially argued that it would be hard to balance Bad public policy is bad public policy, and the budget without this proposal and repeated it was hard to watch it become law. But only mantra-like, “It’s not a tax increase; it’s not a tax the Mackinac Center has both the well-placed increase,” as if repetition would make it true. resources and the spirit of “eternal vigilance” to On Sept. 15, a House vote on the mea- have provided so much of the intellectual ammu- sure was going down in flames when the leader- nition that alerted the public to the Legislature’s ship “closed the board” and postponed further actions. Legislators who voted for this increase consideration. House members reported that their did so under close public scrutiny, and they paid e-mail and phone lines were buzzing with angry a heavy political price for their decision. They will citizens urging defeat. An informal Detroit News think twice before imposing new taxes — espe- “Cybersurvey” found a whopping 94 percent of cially knowing that the Mackinac Center will respondents opposed to the bill. always be there to call a duck a duck. I But bad ideas are hard to kill, particularly

Mackinac Center IMPACT 4 4 Summer Winter 2002 2005 | | www.mackinac.org www.mackinac.org www.mackinac.org | Winter 2005 5 Mackinac Center IMPACT The Detroit News’ lead editorial supports the Center’s position. It calls the county property tax acceleration a 16.3 percent tax increase — a Mackinac Center calculation — and echoes the Center’s “duck” language.

The Detroit News’ secondary editorial praises Frank Beckmann for his sustained focus on the county property tax issue. One of his earliest guests was Legislative Analyst Jack McHugh, and Beckmann’s WJR Web site posted a hyperlink to McHugh’s analysis for the Mackinac Center.

The Detroit News’ “pro-con” debate on the county property tax issue features Jack McHugh taking the “con” position against the state senator who sponsored the legislation.

State Sen. Michael Switalski dodges McHugh’s analysis, writing, “I will leave to others the sterile debate as to whether early collection is a tax increase.”

Even the letters to the editor and the editorial cartoon were critical of the proposed county property tax acceleration. A Detroit News online “Cybersurvey” showed 94 percent of respondents opposed the plan.

Media Impact from page 3 Taxpayers Union estimated that the state lost Mr. Headlee’s legacy was treated fairly by almost 3,000 jobs in 2004 because of state the media, and Mackinac Center President government’s six-month delay of a previously Lawrence Reed figured prominently in the passed income tax reduction. coverage, stating Dick Headlee was “a man • An Atlanta Business Chronicle review of Geor- of character” and “a living example of the gia’s property tax system referred to Michigan’s ancient republican ideal – the citizen who sets experience with Proposal A and recorded Law- down his plow to put right what is wrong and rence Reed’s observation serve his community.” We mourn the loss of a SNAPSHOTS that educational reform is true hero, and we extend our condolences to a broader and more dif- his family. ficult policy challenge than • Another Associated Press report appearing simply designating money widely in newspapers described the state of sources for education. Michigan’s efforts to sell a parcel of land to • An Associated Press article Toyota Motor Corp. for $9 million despite that appeared in several receiving a $25 million bid for the prop- newspapers around the erty from a Detroit-area developer. The sale state quoted Michael required approval from the Legislature and the LaFaive pointing out that governor, prompting Michael LaFaive to ask, government-funded busi- “How often are we going to pass a special law ness assistance schemes for a single company’s benefit?” “usually provide only • Senior Fellow in Education Policy Andrew Speaking in September, Executive Vice President Joseph Lehman opened the inaugural Asian Resource Bank meet- short-term gains, and Coulson authored an op-ed that appeared in ing which was attended by nearly 100 free-market think tank Michigan businesses the Detroit Free Press and described how pri- leaders. Pictured in Hong Kong (left to right) are Manh Cuong would do better if taxes in vate schooling in India is increasingly popular, Nguyen (Vietnam), Lehman, Ellen Cain (Philippines), Jargal Dambadarjaa (Mongolia), Parth Shah (India), and Bienvenido general were lowered.” especially among lower-income families. These Oplas, Jr. (Philippines), all alumni of the Mackinac Center’s • Numerous editorials and schools, Coulson noted, are producing India’s biannual Leadership Conference. news accounts noted the passing of Richard H. increasingly well-educated, English-speaking Headlee, the prominent Michigan businessman workforce, which has prompted U.S. firms who led successful drives for a state constitu- to outsource jobs, particularly in informa- tional amendment limiting taxation in 1978 tion technology. The Center then posted an and an initiative mandating term limits for state expanded version of Coulson’s essay on its officials in 1992. The Mackinac Center’s early Web site, and the piece was subsequently pub- and focused media outreach helped ensure lished in The Oakland Press. I

Mackinac Center IMPACT 4 4 Summer Winter 2002 2005 | | www.mackinac.org www.mackinac.org www.mackinac.org | Winter 2005 5 Mackinac Center IMPACT Debate Workshops: Better Vision for the Future n ancient Sumerian riddle asks, “What is a speakers,” said Michael D. LaFaive, director of Ahouse where one goes in blind and comes fiscal policy and workshop coordinator for the out seeing”? The answer is simple and timeless: a Mackinac Center. “We had perspectives from school. Africa, Washington, D.C., and the state of Wash- For each of the past 17 years, the Mackinac ington, and each panelist is a keen thinker accus- Center has set up schools that provide a super- tomed to the give-and-take of public debate.” charged day of powerful, new perspectives that Each workshop included hard-to-find sharpen and broaden the vision of some of Mich- resource materials and in-depth discussions of igan’s finest high school students as they prepare the topics with the speakers. Arunga addressed for the annual national high school debates. the impact of peacekeeping troops in Africa The 2004 workshops were held in September based on both scholarly research and her per- in Grand Rapids, Jackson and Livonia with 279 sonal experiences. Doug Bandow, author of a enthusiastic sophomores, juniors, seniors and forthcoming book on North and South Korea, high school debate coaches from schools across addressed United Nations work in both countries the state. This year’s national debate topic and the Baltic nations. Debate Workshop veteran — chosen by The National Forensic Association Greg Rehmke addressed overarching themes of — was “Resolved: That the United States federal economics and free trade, as well as the value of government should establish a foreign policy individual liberty in facilitating good relations substantially increasing its support of United among nations. Nations peacekeeping operations.” The response to the seminars from students The speakers at the 2004 workshops were ide- and coaches was terrific, with many writing let- ally suited to the discussion: ters to express their appreciation (see nearby). June Arunga, director of Their attendance at the workshops means that youth outreach at the Inter- more than 8,000 students have heard Mackinac Regional Economic Net- Center debate lectures from top free-market work in Kenya. Arunga has scholars on everything from health care to had first-hand experience with weapons of mass destruction and environmental U.N. peacekeeping troops, protection. The workshops have been helping and she wrote and presented teachers and students hone their forensic skills a British Broadcasting Corp. since 1987 — the same year this year’s high documentary entitled “The school seniors were born! Devil’s Footpath,” which explores why so many The 2005 national debate topic is reported to Africans leave the nations of their birth. involve civil liberties, a topic to which the Macki- Doug Bandow, senior nac Center is perfectly matched. But whatever fellow at the Cato Insti- the specific debate resolution, the Center will tute, a prominent think continue to stage its debate workshops, reach- tank in Washington, D.C. ing out to many of tomorrow’s public leaders to Bandow is a widely pub- broaden their perspectives and heighten their lished columnist who has insight in an intellectual competition that annu- written a number of stud- ally involves more than 100,000 top students ies concerning U.S. for- nationwide. Seventeen years of workshops have eign policy and the United shown us that

OLICY Nations. He was a special assistant to the opening the ACKINAC CENTER FOR PUBLIC P 17TH ANNUAL M Midland Monday, September 20 president during the Reagan administration. eyes of high Valley Plaza Resort Grand Rapids Tuesday, SeptemberNEW VENUE! 21 He is also the author of a forthcoming book school debaters 0 Grand Rapids Graduate Center - Downtown, Western Michigan University Jackson Wednesday, September 22 4 Commonwealth Commerce Center about North Korea. is an investment Livonia Thursday, September 23 ORKSHOPS ‘ Burton Manor Gregory Rehmke, pro- in a better vision Dwww.mackinac.org/debateEBATE W Resolved: That the United States federal government The Speakers dent at the Registration - June Arunga is a law stu The Debate Workshops Gregory Rehmke is program direc in the United - The cost is $5.00 per student University of Buckingham Over 8,000 students and teach tor at Economic Thinking/E Pluribus or of youth gram director at Eco- for the future. I (lunch is included). All debaters will fit organi- Kingdom and is direct ers have honed their forensic skills Unum Films, a nonpro outreach at the Inter- receive valuable articles, reports s editor of at our Debate Workshops. This zation in Seattle. He i Regional Economic and studies. For more information, rg and has, comprehensive one-day program www.EconomicThinking.o Network in Kenya. contact Mackinac Center Director since the 1980s, spoken informs debaters on the current She has worked at the of Fiscal Policy Michael LaFaive and written on each Foundation for Eco- should establish a foreign policy substantially increasing its debate resolution through expert by phone at (989) 631-0900; by fax year’s national high nomic Education and nomic Thinking/E Pluribus speakers, hard-to-find resource mate- school debate topic. at (989) 631-0964; or by e-mail at has lectured across rials and in-depth discussions. He has directed student n a variety of - [email protected]. - America and Europe o Schools may send as many partici programs at the Foun rade and Greetings and registration for topics, such as globalization, t pants as they wish. Space is limited, - dation for Economic a. She is also all seminars start at 8:30 a.m. Ses ation and economic liberty in Afric however, and reservations are taken Education, Reason Found the writer and presenter of a British sions begin promptly at 9 a.m. and ea. Unum Films, a nonprofit support of United Nations peacekeeping operations. on a first-come, first-served basis. Center for the American Id Broadcasting Corporation documentary close by 2:00 p.m. entitled “The Devil’s Footpath,” which The Mackinac Center for Doug Bandow is Senior Fellow at the choose to gton, D.C. He explores why many Africans Proven Success Public Policy is an independent, Cato Institute in Washin flee the nations of their birth. - is widely regarded as oneof America’s Mackinac Center Debate Work nonprofit, research and educational most incisive observ- shops equip students and coaches institute based in Midland, Mich. ers of current events. Michael LaFaive organization in Seattle. Through seminars, commentaries, His weekly column is with the facts and intellectual - Director of fiscal policy for public lectures and comprehen published by major firepower they need for a season the Mackinac Center for Public newspapers across the of tough competition. Past teams sive studies, the Center works to Policy, and coordinator of country, and he writes have applied new skills and ideas advance a scholarly, free-market the workshops. - perspective on policy issues aimed regularly for leading they learned at the Debate Work magazine. publications, such as Fortune Jon Perdue Rehmke is also editor of shops to capture championships at improving the quality of life for c author, In addition to being a prolifi Education policy research in the Detroit Public School Debate all Michigan citizens. academic - Bandow speaks frequently at associate for the Mackinac ampuses and League and the American Asso conferences, on college c Center for Public Policy, and peared ciation of Christian Schools debate to business groups. He has ap workshop emcee. competitions. on many national televisionand radio .” EconomicThinking.org and shows, from “Crossfire” to “Oprah FreeSpeaker.org, and he speaks Easily search proposed and existing Michigan 140 West Main Street • P.O. Box 568 • Midland, Michigan 48640 legislation by checking out the Mackinac Center’s free (989) 631-0900 • Fax (989) 631-0964 service MichiganVotes.org. and writes annually on national www.mackinac.org • [email protected] high school debate topics. “I was delighted with the quality of this year’s

Mackinac Center IMPACT 6 6 Summer Winter 2002 2005 | | www.mackinac.org www.mackinac.org www.mackinac.org | Winter 2005 7 Mackinac Center IMPACT OLICY ACKINAC CENTER FOR PUBLIC P 17TH ANNUAL M Midland Monday, September 20 Valley Plaza Resort

Grand Rapids Tuesday, SeptemberNEW VENUE! 21 0 Grand Rapids Graduate Center - Downtown, Western Michigan University Jackson Wednesday, September 22 4 Commonwealth Commerce Center Livonia Thursday, September 23 ORKSHOPS ‘ Burton Manor Dwww.mackinac.org/debateEBATE W Resolved: That the United States federal government The Speakers dent at the Registration - June Arunga is a law stu The Debate Workshops Gregory Rehmke is program direc in the United - The cost is $5.00 per student University of Buckingham Over 8,000 students and teach tor at Economic Thinking/E Pluribus or of youth (lunch is included). All debaters will fit organi- Kingdom and is direct ers have honed their forensic skills Unum Films, a nonpro outreach at the Inter- receive valuable articles, reports s editor of at our Debate Workshops. This zation in Seattle. He i Regional Economic and studies. For more information, rg and has, comprehensive one-day program www.EconomicThinking.o Network in Kenya. contact Mackinac Center Director since the 1980s, spoken informs debaters on the current She has worked at the of Fiscal Policy Michael LaFaive and written on each Foundation for Eco- should establish a foreign policy substantially increasing its debate resolution through expert by phone at (989) 631-0900; by fax year’s national high nomic Education and speakers, hard-to-find resource mate- school debate topic. at (989) 631-0964; or by e-mail at has lectured across rials and in-depth discussions. He has directed student n a variety of - [email protected]. - America and Europe o Schools may send as many partici programs at the Foun rade and Greetings and registration for topics, such as globalization, t pants as they wish. Space is limited, - dation for Economic a. She is also all seminars start at 8:30 a.m. Ses ation and economic liberty in Afric however, and reservations are taken Education, Reason Found the writer and presenter of a British sions begin promptly at 9 a.m. and ea. support of United Nations peacekeeping operations. on a first-come, first-served basis. Center for the American Id Broadcasting Corporation documentary close by 2:00 p.m. entitled “The Devil’s Footpath,” which The Mackinac Center for Doug Bandow is Senior Fellow at the choose to gton, D.C. He explores why many Africans Proven Success Public Policy is an independent, Cato Institute in Washin flee the nations of their birth. - is widely regarded as oneof America’s Mackinac Center Debate Work nonprofit, research and educational most incisive observ- shops equip students and coaches institute based in Midland, Mich. ers of current events. Michael LaFaive with the facts and intellectual Through seminars, commentaries, His weekly column is - Director of fiscal policy for public lectures and comprehen published by major firepower they need for a season the Mackinac Center for Public newspapers across the of tough competition. Past teams sive studies, the Center works to Policy, and coordinator of country, and he writes have applied new skills and ideas advance a scholarly, free-market the workshops. - perspective on policy issues aimed regularly for leading they learned at the Debate Work magazine. publications, such as Fortune Jon Perdue shops to capture championships at improving the quality of life for c author, In addition to being a prolifi Education policy research in the Detroit Public School Debate all Michigan citizens. academic - Bandow speaks frequently at associate for the Mackinac ampuses and League and the American Asso conferences, on college c Center for Public Policy, and peared ciation of Christian Schools debate to business groups. He has ap workshop emcee. competitions. on many national televisionand radio .” shows, from “Crossfire” to “Oprah

Easily search proposed and existing Michigan 140 West Main Street • P.O. Box 568 • Midland, Michigan 48640 legislation by checking out the Mackinac Center’s free (989) 631-0900 • Fax (989) 631-0964 service MichiganVotes.org. www.mackinac.org • [email protected]

Mackinac Center IMPACT 6 6 Summer Winter 2002 2005 | | www.mackinac.org www.mackinac.org www.mackinac.org | Winter 2005 7 Mackinac Center IMPACT ADVANCEMENT IMPACT The Rieckers: Exemplars of de Tocqueville’s America t a gathering of approximately 100 guests on In prepared remarks to the gathering, John ASeptember 30, the Mackinac Center for Public Riecker commented, “In the current milieu of Policy dedicated its boardroom to John and American intellectual thought and teaching, Margaret Ann “Ranny” Riecker. John and Ranny Ranny and I look upon the Mackinac Center are well-known throughout the state of Michigan as an anchor to windward, a seeker of true “In the current milieu for their civic and philanthropic economic and political prin- of American intellectual efforts, and they are longtime ciples, a producer of clear and thought and teaching, supporters of the Center. unambiguous articles and an Ranny and I look upon “The Rieckers’ contribu- objective investigator of the the Mackinac Center as tions to our mission are too vast deconstructionist and revision- an anchor to windward, to adequately describe,” said ist efforts to alter the history a seeker of true economic Lawrence W. Reed. “We hope of this nation.” The complete and political principles.” only that by naming the board- text of his speech can be found — John Riecker room for them, we might begin under “An Anchor to Wind-

to honor their fundamental John and Ranny Riecker ward” on the Mackinac Center leadership role and their pivotal Web site. efforts to help us construct our building, which The Rieckers’ own help in “anchoring” has meant so much to our organization.” the Center seems a natural extension of their The gathering included state leaders, exceptional participation in community life. Mackinac Center supporters, the Rieckers’ Reed, having read aloud an impressive list of invited guests, and executives from Wolverine the Rieckers’ activities, alluded to Alexis de Bank, The Amerisure Companies and Central Tocqueville’s “Democracy in America” and Michigan University. A string quartet provided observed: “John and Ranny Riecker personify music, and a letter of congratulations from civil society. If de Tocqueville were with us U.S. Congressman Dave Camp was read aloud, today, I could see him writing a second book on with Camp praising the Rieckers’ “lifelong just the Rieckers — as a way to bring to life the commitment to high principles, both in words point he made in his first.” I and in deeds.”

The Visionary and the Reactionary istory offers powerful examples of officials History honors Mitchell as a visionary. Baker, Hwho were unwilling or unable to think however, is remembered differently. imaginatively. They resisted innovation and could Now think about recent advances in public not perceive what would later be obvious. policy, and consider today’s “Newton Bakers.” Consider the battle of ideas between U.S. They have disparaged reforms in welfare policy, Secretary of War Newton Baker and U.S. Army vilified tax cuts and belittled school choice. They General Billy Mitchell. In 1921, Mitchell proposed inexplicably remain the moribund proponents of to prove the effectiveness of airpower by sink- big government. ing old battleships through aerial bombardment. The Mackinac Center has always pushed for Although it’s hard to imagine today, the early innovations in public policy, and our opponents John Coonradt, proponents of airpower were believed to be crack- have often called our ideas “radical” or “risky.” Vice President for Advancement pots by many, and Baker thought Mitchell a nut. But when they do, I encourage you to visualize Baker even stated, “That idea is so damned non- the expression on Newton Baker’s face as Billy sensical and impossible that I’m willing to stand Mitchell’s airplanes sunk those battleships — and on the bridge of a battleship while that nitwit tries reflect on how Mitchell and his colleagues must to hit it from the air.” have felt at that same moment. Mitchell, however, was confident in his vision Thousands of people have supported the and knew that a successful demonstration would Mackinac Center over the years. They, too, are firmly establish the effectiveness of airpower. His visionaries, because they see the importance bombs found their mark on that historic day, and of persistently advocating good ideas — and the ships sank quickly. Baker, who had reconsid- of supporting our common cause in the face ered his boast and watched from a safe distance, of criticism and opposition, until success has suffered damage only to his reputation and his ego. been won. I

Mackinac Center IMPACT 8 8 Summer Winter 2002 2005 | | www.mackinac.org www.mackinac.org www.mackinac.org | Winter 2005 9 Mackinac Center IMPACT LEADERS Judge Paul Gadola: A Win for the Federalists uring the ratification debates over the U.S. Michiganian who has, among other things, “exhib- DConstitution, the Antifederalist “Brutus” ited in his or her life a great respect for the rule of objected to the proposed powers of the Supreme law, a belief in the separation of powers, (and) a Court, writing, “They are to give the constitution firm conviction that the judiciary should be apply- an explanation, and there is no power above ing the law, rather than creating it.” Judge Gadola them to set aside their judg- was honored on Nov. 15 at a Society dinner, ment. … They are indepen- where U.S. Supreme Court Justice Antonin Scalia dent of … every power under appeared as the special guest speaker. heaven. Men placed in this Daniel Grano — son of the eponymous Joseph situation will generally soon Grano — presented the award, lauding Judge feel themselves independent Gadola for embodying “the principles set forth by of heaven itself.” our founding fathers” and his desire to “remain The criticism sometimes faithful to the original purpose of our govern- seems prescient; Americans ment.” Grano observed that Judge Gadola “has often must rely on the self- always taken time to educate others in his belief in restraint of federal judges in integrity in life and law” and promoted his ideals the courtroom. The Mackinac by “living and working in a manner to stress that Center therefore feels a spe- the law is what the legislature’s original intent is, U.S. Supreme Court Justice Antonin Scalia (left) is pic- tured here with Judge Paul Gadola and his wife Falding cial surge of pride that U.S. not what a judge says it should be.” at a Nov. 15 Federalist Society dinner honoring Gadola’s District Judge Paul Gadola, Judge Gadola’s many contributions to Michi- achievements. Vice Chairman of our Board gan — lawyer, judge, Mott Community College of Directors, has been honored with The Federal- trustee, Mackinac Center director — have already ist Society’s prestigious Joseph D. Grano Award. distinguished him. That a group advocating lim- The Federalist Society, composed of dis- ited government has recognized him as a man to tinguished conservative and libertarian legal whom power can be entrusted may be the highest scholars, presents the Grano Award annually to a compliment of all. I

Ann Arbor Trailblazers he Mackinac Center examines law and Scouts dinner honoring them was a truly special Tpublic policy because improving them will event, with around 200 people attending, includ- enable the genius of free people and associations ing Mackinac Center President Lawrence Reed and to flourish. Leaders of civil society do most of Mackinac Center Advisor Steve Dobson, an Ann humanity’s real work, and the Center is always Arbor business leader. proud to honor them — espe- The Fitzsimmonses were “roasted” from the cially when they are among podium by their children and friends, and among our own. the salutes was an eloquent and gracious tribute Joseph and Beth Fitzsim- by Dobson, who hailed Joe and Beth for excep- mons, two of the Mackinac tional commitment to a wide variety of worthwhile Center’s closest friends, were community causes. Addressing Joe, he said, “In a recently named the Washt- time when we have far too few genuine heroes, enaw County Distinguished and when most of those we do have soon prove to Citizens of the Year by the Boy have feet of clay, you measure up in every sense Scouts Great Sauk Trail Coun- of the word.” cil. The Trail Council feted Joe and Beth have assumed a number of the Fitzsimmonses at a special leadership roles in addition to their work with the

Mackinac Center Board members Joseph and Beth Fitzsim- dinner, emceed by U.S. Boy Scouts and the Mackinac Center. Joe, who mons were honored at a Dec. 8 dinner in Ann Arbor. Congressman Mike Rogers, was named “Citizen of the Year” by the Ann Arbor on Dec. 8 in Ann Arbor, where News in 2001, is the former CEO of University they were honored for their dedicated community Microfilms and past president of the Rotary Club service and support of scouting. of Ann Arbor. Beth was recently appointed by Joe and Beth rank among the Center’s most President Bush to chair the National Commission loyal supporters. Joe joined our Board of Direc- on Libraries and Information Science, and she sits tors in 2004, and both Joe and Beth serve on the on committees and boards for the University of Center’s Ann Arbor Board of Advisors. The Boy Michigan Libraries and the YMCA. I

Mackinac Center IMPACT 8 8 Summer Winter 2002 2005 | | www.mackinac.org www.mackinac.org www.mackinac.org | Winter 2005 9 Mackinac Center IMPACT FREE-MARKET FUNDAMENTALS Limit Government; Don’t Run It Like A Business Michael Heberling, Ph.D. within or between government agencies to force With increasing budgetary shortfalls at the efficiency, lower cost and better customer service local, state and federal level, government agencies into government operations. If we do not like are seeking to emulate the operating practices of the cost or service quality when our state issues a private businesses in order to address their fiscal driver’s license, we cannot go to another govern- problems. This approach obviously has merit, but ment agency across the street to get a better deal. it’s limited by fundamental differences between In the absence of such a choice, we are often Dr. Michael Heberling the incentives that public and private sectors face. forced to endure the inefficiency, poorer service, is president of the Baker In the private sector, there are three primary higher costs and limited hours of a government Center for Graduate incentives that force efficiency and cost control monopoly that lacks competition. Studies in Flint, Michi- into business operations: financial reward, com- gan and a member of the petition and survival. Unfortunately, these three SURVIVAL Mackinac Center Board incentives are, for all practical purposes, absent of Scholars. Baker’s with government agencies. This final incentive results in the complete, master’s degree program unmitigated transformation of a private compa- in business administra- FINANCIAL REWARD ny’s operations. When a business’s inability to tion is the largest in compete for financial rewards threatens it with Michigan. In the private sector, organizations produce bankruptcy, the company has no choice but to a service or product that customers are willing rapidly and effectively re-engineer its business to buy. The more customers value this product practices to focus on the customer’s desire for or service for its cost and quality, the better the quality goods, efficient service and lower cost. opportunity for financial reward for the business Bankruptcy is a last-resort makeover that punishes owners and employees. business owners and employees with lost money Government agencies are not producers in this and lost jobs. sense. Instead, they buy products and services from In contrast to the private sector, government the private sector, but with very few exceptions, do agencies rarely face a genuine threat of bankruptcy. not continue the process of selling products and A state government will usually continue to have a services. They are more like a final consumer, and Department of Natural Resources no matter how there is no accompanying financial reward to tax- poorly it does it job or satisfies citizens. No DNR payers, administrators, or civil servants — i.e., the employee worries that his or her place of business people who might be considered business owners will disappear like Eastern Airlines. and employees — if citizens value the quality and Politicians who focus on making government cost of the work a government agency does. With- run more like a business, rather than on reducing out this immediate financial reward, there is far less it to its proper role, are forgetting the inevitable incentive to force efficiency and cost control into effect of incentives. They are being penny-wise the government operation. and pound-foolish. I In fact, a well-disciplined government budget may have negative consequences for government workers. The frugal government administrator who Outsourcing from page 1 has funds left at the end of the fiscal year may lose these surplus funds and even find his or her budget Michigan Government Television Network taped reduced by the same amount in the following year. Griswold’s speech in Lansing and rebroadcast it In contrast, a private-sector manager who under- numerous times. Media and audience response runs his or her department’s budget will tend to be to the state Chamber of Commerce debate led the encouraged and rewarded, since the cost savings Center to schedule a reprise of the Griswold-Gaff- will help the company make more money. ney face-off on March 21 in Grand Rapids. The Center is proud of the Policy Brief and COMPETITION its arguments — that outsourcing is a natural evolution of free trade; that it accounts for only 2 Competition in the private sector — whether percent of total job losses, far less than opponents in the sale of automobiles, telecommunications claim; and that Michigan benefits because foreign or toothpaste — drives businesses to meet the firms outsource jobs to domestic companies. But varied wants and desires of the consumer better most of all, the Center is proud to have bearded than their rivals do. Businesses that succeed in this the lion in his den, bringing its arguments straight competition earn better financial rewards, even to policymakers and opinion makers at a time as they offer lower prices, better quality and more when overheated rhetoric and special interest choices for consumers. pressures threatened the economic welfare of Unfortunately, there is rarely competition Michigan’s citizens. I

Mackinac Center IMPACT 1 100 Summer Winter 2002 2005 | | www.mackinac.org www.mackinac.org www.mackinac.org | Winter 2005 11 Mackinac Center IMPACT FREE-MARKET LIBRARY COMMENTARIES Why Socialized Health Care The Changing UAW in Is Not the Model to Follow December 2004 V2004-34 October 2004 V2004-28 The UAW has adapted to increased global com- Canadians are discovering that they spend petition with savvy arrangements like its recent ACCESS large sums on health care and receive worsening acceptance of a “two-tier” wage structure. This is a services in return. The costs to the country’s citi- more realistic approach than the confrontational zens and its economy are staggering, even when tactics of the union’s local chapters. they are hard to measure. New Year’s Resolution: Did Anybody Really Know What Time It Was? A Taxpayer Bill of Rights October 2004 V2004-29 December 2004 V2004-35 Michigan had at least 27 different local times Michigan government would have avoided before the adoption of standardized time zones. many of its current spending and debt problems if The zones were created in 1883 by America’s the Michigan Constitution had included a “tax- privately-owned railroads to facilitate interstate payer bill of rights” similar to Colorado’s. The commerce — a move the federal government did Legislature should let Michigan’s citizens vote on a not sanction for 35 years. similar measure.

You can access electronic “Milking the Cow” of State Profit Has a Role in Public Schools versions of the publications in Development Departments December 2004 V2004-36 Free-Market Library, simply go to the Mackinac Center Web October 2004 V2004-30 Some decry the role of profit-making manage- site, click “Publications,” and State economic development subsidies have ment companies in Michigan’s charter schools, go to “Viewpoints,” “Periodi- become so extensive that businesses treat them but they ignore the fact that conventional schools cals,” or “Studies.” as just one more market opportunity. The result regularly benefit from the excellent goods and is more government spending and a lower level services of profit-making companies.

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of economic growth than broad-based tax relief A Publication on Privatiz ation Initiatives T hroughout the State • Mac kinac Center for Public Po licy • No. 2004- 02 / Winter 2005 would bring. Unwrapping JOURNALS ������������� Should You Fear School Choice? Michigan Privatization Report

Mackinac Center for Public Policy

Michigan Privatization Report • Winter 2005 November 2004 V2004-31 MPR 2004-02 $3.00 1 People are hesitant to embrace school choice How much could the state save by privatizing because they believe it is new and untested. But prison management? How common is private con- successful school-choice programs have existed tracting for noneducational services among public throughout history — a point demonstrated by schools? How could the city of Detroit use privatiza- the 87-year old school-choice program in the tion to improve the financial performance of Cobo Netherlands. Hall? What cities could benefit from Ann Arbor’s experience in outsourcing operation of its parking Mental Health Care Reform facilities? These questions and others are answered in Should Put Patients First this issue of Michigan Privatization Report. 16 pages. November 2004 V2004-32

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�������������� �������������������� Reforms to the state’s mental health care Outsourcing Benefits Michigan Economy and Taxpayers By Daniel T. Griswold and Dale D. Buss

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��������������������������������������� ��������������������������������������� ��������������������������������������������� ������������ � ������������������������������������������ ����� ����������� ���� ������������ � �������������� ��������������������������������������� �������������� ������������������������������������� ����� ����� �������� � TUDIES EPORTS ������������������������������������������������������ ����� ������� ����� ����� ���������� �� ��������������� S & R ����������������������������������� �������������� ��������������������������������������� ������ ��������� � ��������������������������������� ��������������������� system should ensure that individual patients or �������� �������� �������� ��� ������ ����������������� ���� ���� ������ ���� ����� ���� �������������������������������� �������������������������������������������� ���������� ����� ��� ������������� ��� ������������ ��� ������ ������������� ��� �������� ��������������������������������������� �������������� �������������������������������������������� ��������������������������������� ����������������� ������ ���� ������������������������������������������ ��������������������������������������������������������������� ������������ ���������������������������������� ������ ��������������� ������������������������������������������������������� ����������������������������������� ������������������������������������������������������ ������������������������������������������������������������� � �������������� ����������� ����� ����� ������������������ ������������������������������������� ���������������� ���������������������������������� ����� ���� ������� ������������������������������������������������������� � � ������� ������������ ����� ������ ��������������������� �������������� ������������ ���� ����� �������������� ���������������������������� �� ���� ��������� ����� ��� ��������� �������� ���������� �������� ��� ���� ������������ �������������������������������������� ������������ ��� ����������������������������������������� their guardians are empowered with money and Outsourcing Benefits Michigan �������������������������������������������������������������� �������������������������������������� ����������������������������������� �������������� ������������� ����������������������������� �������������������� ������������������������������� �������������������� ���������������������������������������������������������������� ����������������������������������������������������������� ����������������������������������������������������������� ������������������������������������������������������������ ���������������������������������������������������������� ������������������������������������ �������������������� �� �������� ����� ���������� ������� ��������������������������������� ����������������� �������������� � �������������������������������������������������� ������������ ��� ���������������������������������������������������������� �������������������������������������� ���� ������� ��������� ������ ����������������������������������� ������������ ������������������������������� ������������������ ����������������������������������� �� ����������� ������������������������ �������������������� �������������������������������� ��������������������������������� �������������������� ������������������ ������������������������������������ � ��������������������������������� �������������������� choices for effective care. State mental health Economy and Taxpayers ��� �������� ����� ���������� ������������������������ ����������������� ���������������������������������� ��������� ����������� ����� ����������������������������� ���� ���������������� ���������������������������� ���������������������� ���������������� ������������ ���������� ��������������������������� ���������������������������� ������������� ���������������� ����������������� ���� �������������������������� �������������� �������������� ��������������� ��������������������������������� � ���������� ������������������������� ������������������������������������������������������������� ����������������������������� ����������������� ���������������������� boards should no longer be the major recipients S2004-06 $3.00 � of state money for the mentally ill. Mackinac Center Adjunct Scholars Daniel T. Griswold and Dale D. Buss perform an economic The Golden Calf of Democracy analysis of the costs and benefits of foreign outsourc- November 2004 V2004-33 ing. They observe that outsourcing is essentially an While democracy involves important values like evolution in international trade from an exchange the right to vote and government accountability, it of goods to an exchange of labor and services. They can also mean unshackled majority rule. America’s conclude that restrictions on the practice would founders rejected undiluted democracy and estab- reduce employment growth and raise the cost of lished a republic with a limited government. state government activities for Michigan citizens.

HOW TO ORDER All publications are available at no charge via the Inter- 50¢ each. Please call for bulk discounts. net at www.mackinac.org. For telephone orders, please call the Mackinac Center VIEWPOINTS: Viewpoints on Public Issues are two- at (989) 631-0900. The Center accepts Visa, MasterCard, page commentaries on current Michigan policy issues. and Discover/NOVUS for your convenience. Please have Three are published each month. IndividualViewpoints are your card and item title(s) handy when calling.

Mackinac Center IMPACT 1 100 Summer Winter 2002 2005 | | www.mackinac.org www.mackinac.org www.mackinac.org | Winter 2005 11 Mackinac Center IMPACT Multiplying the Power of Informed Citizens rom the first, MichiganVotes.org has been during the 2003-2004 legislative session — easily Facclaimed as the tool that brought democracy the worst record of any legislator. In December, into the Internet Age. But the site has recently The Grand Rapids Press and the Michigan Infor- made it easier than ever to track our state rep- mation & Research Service used resentatives’ performance — and news media MichiganVotes.org to compare across Michigan have seized the chance. a number of legislators on their MichiganVotes.org is the innovative Mackinac failure to vote. Center Web site that provides free, searchable, MichiganVotes.org has now plain-English descriptions of every vote by the become the leading source on Michigan Legislature. The site’s recent upgrades legislative voting records for now enable Web visitors to look up a Michigan influential audiences such as legislator’s voting record in dozens of issue journalists, lawmakers, lobby- categories and to determine which roll call votes ists, local government offi- — and how many — a legislator has failed to cast. cials, and grass roots activists. Other new features include links to analysis of Respected news outlets like legislators’ campaign contributions, as well as a Bill Ballenger’s “Inside Michi- new “Public Act” search tool that makes it possible gan Politics” and MIRS have to browse only those bills that have been signed used the site in the past year into law. to prepare nonpartisan analy- The media were quick to see the implications. ses of voting records. Orga- In October, The Flint Journal reported that a nizations as diverse as the candidate for the state House was criticizing his Michigan Conservative Union opponent for missing 77 votes. The incumbent and the Detroit NAACP are GRAND RAPIDS PRESS TUESDAY, DECEMBER 7, 2004 responded that the omissions occurred when she using MichiganVotes.org A1 CIRCULATION: 156,383 had gallbladder surgery. The newspaper was able to prepare their legislative to consult MichiganVotes.org to discover that this voting record guides and scores. legislator had apparently had the surgery three MichiganVotes.org has, from its birth, pro- times, because her missed votes came during duced a quantum leap in the potential power three periods that were several months apart. of informed citizens. Its success has led to the The Detroit Free Press recently cited development of similar Web sites in Minnesota MichiganVotes.org in a column describing the and Washington state. And with our site’s recent parting speech to the Legislature of a term-limited upgrades, it remains the leader of the pack. I Detroit representative who had missed 645 votes

140 West Main Street • P.O. Box 568 • Midland, Michigan 48640

Mackinac Center IMPACT 1 122 Summer Winter 2002 2005 | | www.mackinac.org www.mackinac.org