Michigan’s Corporate Welfare Failure with James Hohman | Let People Prosper Show Ep. 128🎙️

How Business Handouts Undermine Prosperity

Hello Friends!

In this episode of the Let People Prosper Show, I sit down with James Hohman, director of fiscal policy at the Mackinac Center for Public Policy, to discuss Michigan’s fiscal policies, the real impact of business subsidies, and the Sustainable Michigan Budget. We explore how corporate welfare programs often fail to deliver on job creation promises and analyze the political dynamics that prioritize select companies over taxpayers. Together, we advocate for transparency, accountability, and a better business climate for sustainable economic growth.

---

Key Highlights

1. Business Subsidy Myths Debunked
James Hohman shares his Front Page Failures research, which shows that only 2% of business subsidy projects meet or exceed job creation goals. Most programs fail to deliver on promises, wasting taxpayer dollars and disadvantaging local businesses that do not receive subsidies.

2. The Political Dynamics of Corporate Welfare
Michigan’s recent budget reflects a growing trend of large cash transfers to select companies influenced by powerful interest groups. These subsidies create political advantages for lawmakers but often fail to benefit taxpayers or the broader economy.

3. A Better Path to Economic Growth
We emphasize that removing barriers to business success, such as excessive taxes and regulations, is the key to sustainable economic growth. Governments should focus on creating a fair playing field instead of favoring select companies with subsidies.

---

Timestamp Summaries

00:00 - Introduction to the Let People Prosper Show
Vance introduces James Hohman and outlines the episode’s focus on Michigan’s fiscal policies and corporate welfare.

04:57 - Motivations Behind Public Policy Advocacy
James discusses his early interest in fiscal policy and the importance of understanding public sentiment to drive meaningful reform.

10:58 - The Reality of Job Creation Promises
An in-depth look at the gap between promised and actual job creation in business subsidy programs highlights the inefficiency of corporate welfare.

18:58 - The Future of Corporate Welfare in Michigan
Exploring recent legislative changes in Michigan and the growing influence of interest groups on budget priorities.

26:51 - The Need for Transparency in Subsidy Programs
James and Vance stress the importance of transparency and accountability in business subsidy programs to ensure taxpayer money is spent wisely.

34:44 - Michigan's Budget and Political Landscape
An analysis of Michigan’s shift toward corporate welfare and how these decisions impact economic growth and public trust.

41:12 - Fostering Economic Growth Without Corporate Welfare
James and Vance advocate for fair and free-market policies that enable businesses to thrive independently of government handouts.

---

Thank you for tuning in to this episode of Let People Prosper! As James Hohman highlights, corporate welfare often undermines job creation and economic growth. To foster true prosperity, Michigan and other states must prioritize fairness, transparency, and fiscal responsibility. Be sure to subscribe to the newsletter for more insights into free-market solutions and policy analysis.

Watch or Listen to the full episode now!

---

Please share and rate the Let People Prosper Show wherever you get your podcasts, visit vanceginn.com for more insights, and subscribe to my newsletter for show notes at vanceginn.substack.com.You can also invite me on your podcast, speak at an event, or conduct research.