Studies

S2012-11

Proposal 5 of 2012: An Assessment of the Supermajority Tax Vote Requirement

The Mackinac Center for Public Policy recently published “Proposal 5 of 2012: An Assessment of the Supermajority Tax Vote Requirement,” which addresses Proposal 5 on the Nov. 6, 2012 ballot.
The study examines the amendment to the state constitution that proposes to require a two-thirds supermajority vote of both the Michigan House and Senate, or a simple majority vote of the people in a November election, to impose new state taxes or increase any state taxes that currently require only a majority vote of the Legislature. The study concludes that Proposal 5 is likely to provide additional protection against state tax increases, though it may be appropriate to ensure state lawmakers take further steps to ensure the original intent of the proposal.
The Policy Brief was authored by Michael D. LaFaive, director of the Morey Fiscal Policy Initiative at the Mackinac Center for Public Policy.  … more
S2012-10

Proposal 1 of 2012: The Referendum on Public Act 4

The Mackinac Center for Public Policy recently published “Proposal 1 of 2012: The Referendum on Public Act 4,” which addresses Proposal 1 on the Nov. 6, 2012 ballot, also referred to as the “emergency manager” referendum.
The study examines the claim that local control will diminish if Proposal 1 passes and Public Act 4 is nullified. Public Act 4 had provided expanded powers to state-appointed emergency managers of local governments and school districts that are in a state of serious “fiscal stress or “fiscal emergency.” The study determined that the question in Michigan has not been whether state-appointed managers or court-appointed receivers may replace local elected officials in running a local unit of government; they have been able to do so for decades. The only question is whether state government will participate in the effort to avoid local fiscal insolvency and how it will do so.
The Policy Brief was authored by James M. Hohman, assistant director of Fiscal Policy for the Mackinac Center for Public Policy.  … more
S2012-09

An Analysis of Proposal 4 of 2012: The Unionization of In-Home Caregivers

The Mackinac Center for Public Policy recently published “An Analysis of Proposal 4 of 2012: The Unionization of In-Home Caregivers,” which addresses Proposal 4 on the Nov. 6, 2012 ballot. The policy brief is authored by Mackinac Center Legal Analyst Derk Wilcox.
The proposed constitutional amendment would authorize the forced unionization of tens of thousands of home-based caregivers in Michigan, allowing the Service Employees International Union to continue skimming millions of dollars in dues from Medicaid stipends meant to help Michigan’s most vulnerable residents. A line-by-line review of Proposal 4 shows that it would not provide any programs or services to in-home care recipients that are not already available, including any improved care, new options for care recipients or taxpayer cost savings. … more
S2012-08

Proposal 2 of 2012: An Assessment

The Mackinac Center for Public Policy recently published “Proposal 2 of 2012: An Assessment,” which addresses Proposal 2 on the Nov. 6, 2012 ballot, also referred to as the “collective bargaining” amendment.
The study examines how the proposed constitutional amendment would enshrine collective bargaining in the state constitution, which would allow government union collective bargaining agreements to invalidate numerous state laws meant to improve the quality of public services and would likely negate a projected $1.6 billion in annual taxpayer savings.
The Policy Brief was co-authored by Vernuccio and other Mackinac Center analysts: Senior Legal Analyst Patrick J. Wright, Executive Vice President Michael J. Reitz and Assistant Fiscal Policy Director James M. Hohman. Also co-authoring was Paul Kersey, director of labor policy at the Illinois Policy Institute. … more
S2012-07

The Projected Economic Impact of Proposal 3 and Michigan’s Renewable Energy Standard

The Mackinac Center for Public Policy recently published with the Beacon Hill Institute “The Projected Economic Impact of Proposal 3 and Michigan’s Renewable Energy Standard,” which addresses Proposal 3, the so-called “25 x 25” initiative, on the Nov. 6,  2012 ballot. The policy brief is authored by David G. Tuerck, Paul Bachman and Michael Head of the Beacon Hill Institute.
The proposed constitutional amendment would mandate a 25 percent renewable energy standard for Michigan by 2025. The policy brief estimates the cost of the mandates using  the State Tax Analysis Modeling Program – or STAMP – to determine the economic impact on Michigan. They determine that the ballot measure would impose higher electricity prices and economic costs than are sustainable or environmentally friendly. … more
S2012-04

The Shortage of Generic Sterile Injectable Drugs: Diagnosis and Solutions

According to the U.S. Food and Drug Administration, the number of times drugs were in short supply almost tripled from 61 in 2005 to 178 in 2010. The figure reached more than 250 in 2011. This means that manufacturers reported to the FDA that they were unable to meet demand for the drugs. Hospital and health-system pharmacists, as well as oncologists, anesthesiologists and other specialists have also increasingly reported difficulties acquiring drugs.

These are mostly injectable drugs for cancer and other important therapies, and they are frequently produced by generic drugmakers. These drugs are not dispensed by community pharmacies, but rather administered by health professionals in clinical settings.
Currently proposed solutions are unlikely to address the crisis satisfactorily. Congress appears ready to give more power to the FDA, but making FDA regulations more onerous will not alleviate the current shortage of crucial medicines.
A more promising approach is to make it easier for competitors to enter the market in response to forthcoming shortages. In general, this means reducing and ultimately removing the FDA’s monopoly on the approval of drugs for medical use. Shifting these medicines to Medicare Part D insurance may also stabilize supply by helping ensure manufacturers receive adequate compensation for the medicine, even as taxpayers are protected from escalating costs. … more
S2012-02

Alcohol Control Reform and Public Health and Safety

Michigan regulates the sale of beer, wine and “spirituous” (hard) liquor through state statute and rules promulgated by the Michigan Liquor Control Commission. As part of this system, state government intervenes in the spirituous liquor market as a monopoly wholesaler, a role it has filled since the end of Prohibition. The state also mandates that most suppliers of beer and wine grant exclusive sales territories to a select group of wholesalers. These and other restrictions artificially raise prices and reduce the availability of alcohol to Michigan’s consumers.

Last year, a state Liquor Control Advisory Rules Committee was charged with developing alcohol control reform proposals. Some critics, however, have cautioned that the state’s present alcohol laws are necessary to protect public health. This Policy Brief examines the health and safety effects of alcohol regulations like Michigan’s. … more
CS2012-01

Oxford Community Schools: The Great Recession — and the 'Greatest Gift'

Michigan’s Schools of Innovation

In this first installment of the Mackinac Center for Public Policy's new "Schools of Innovation" series, we begin with Oxford Community Schools' experiment with virtual learning. This study examines the district's adoption of Web-based learning to deliver and enhance student instruction. The effectiveness of virtual learning and the resulting increase in district enrollment have fueled the expansion of other school programs — a marked contrast to the many Michigan school districts that have struggled to maintain their offerings during the state's economic slump. … more

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