How free are you to pursue your dreams or improve your lot in life? How much does the government help or hinder your own “pursuit of happiness?” That’s the topic of a new report jointly published by the Mackinac Center and Archbridge Institute titled “Social Mobility in Michigan: Where do we go from here?”

The Archbridge Institute is a relatively new D.C. think tank, established in 2016. What makes it unique is its emphasis on removing barriers that get in the way of individuals pursuing their potential and flourishing. While free-market think tanks like the Mackinac Center support similar reforms, Archbridge keeps a sharp focus on empowering individuals to take control of their destiny by eliminating needless government rules and regulations.

The institute published “Social Mobility in the 50 States” in 2023. This study identified four pillars of social mobility: 1) entrepreneurship and economic growth, 2) institutions and the rule of law, 3) education and skills development and 4) social capital. It ranked the states based on a number of policies related to these four pillars. Utah came out with the nation’s best score, followed by Minnesota and Montana.

Michigan ranked 30th, and our new report explores the state’s ranking in more detail. It identifies the state’s current strengths. Michigan’s regulations, especially those related to land use, are relatively less restrictive. The state also scored highly on measures related to the rule of law and protections against predatory state actions, such as civil asset forfeiture and excessive fines and fees. Michigan also did relatively well on measures of family stability and parental engagement in education.

But there is a lot of room for improvement. Michigan’s corporate tax policies and property tax rates are relatively high and discourage entrepreneurship and business growth, according to the report. The state struggles on measures of business dynamism, with fewer startups and new business ventures. Unsurprisingly, the Great Lakes State also suffers from a stagnant or declining population, as increasing numbers of residents seek economic opportunities elsewhere. Michigan also lags other states in educational opportunities available to residents.

The report makes specific recommendations for policymakers on how to improve social mobility. One area of focus is education. The state should empower parents to access high-quality schools, especially for low-income families. An increasing number of states are expanding the educational choices available to parents by funding vouchers, tax credits or education savings accounts for parents to use for private school tuition, tutoring, training and a host of other opportunities.

Policymakers should focus on improving business dynamism as well. This would require removing the needless bureaucratic barriers that get in the way of starting new businesses and growing them. Gov. Whitmer and the current Legislature, unfortunately, have not yet shown an interest in addressing these problems. Instead, they hand out large checks to established businesses in Michigan, then hope that these lucky recipients of taxpayers’ cash will boost the economy. There’s been nothing to show for it so far, however.

The Archbridge Institute’s focus on social mobility is a helpful new lens for lawmakers to prioritize policy reforms. Everyone benefits when the government gets out of the way of people pursing their dreams and trying to improve their lot in life. This new report gives Michigan policymakers a roadmap for how to improve state policy along these lines.

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