A new report from Bridge Michigan found that many areas of the state that needed help the most have received the least of it since 2022.

Some areas, such as the Northeast Lower Peninsula reportedly barely received 10 percent of the state average in economic development dollars.

The area from Grayling and Oscoda to Cheboyan and Alpena received only $71 per resident in economic development spending, while the average Michigan resident received $525.

The disparity grew even wider in areas such as West Michigan near Grand Rapids, where the average resident received $854.

An economic development expert based in Michigan said the disparity could be a sign that the state is giving up on certain regions.

“Some people take the viewpoint that in some of these distressed areas, there’s nothing you can do to help them,” said Tim Bartik, an economist and economic development subsidy expert at the Upjohn Center for Employment Research in Kalamazoo.

A spokesperson for the Michigan Economic Development Corporation defended the disparity by saying that the state’s subsidies are part of a public and private partnership.

“Every community and region is at a different stage of growth and barriers to overcome,” Spokesperson Danielle Emerson said. 

Still, some stakeholders in the state have argued that the subsidy dollars don’t improve residents outcomes even in areas that have received more funding.

“There’s very little evidence that those (MEDC-funded) projects add up to improving people’s economic outcomes,” Lou Glazer, president of Michigan Future Inc, said. “The conversation needs to be what should we be spending money on that really drives increases.”

Economic experts have long argued that corporate welfare has diminishing returns, and policies such as universal tax cuts and cutting regulations would be more conducive to economic development.

Michigan legislators have recently reevaluated the state’s corporate welfare programs, including voting against new subsidies in 2025

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