More than half the graduates of Michigan colleges and universities leave the state after completing school. To slow down this loss, Michigan’s attorney general (who is hoping to be the Republican candidate for governor) recommends that graduates receive a three-year tax exemption if they stay in Michigan.
It’s micromanagement of the sort that usually turns out badly, so I’m not recommending it. But Cox notes that taxpayers support their schools to the tune of about $2 billion a year. If the 50 per cent figure holds for public universities, he says, “taxpayers are literally spending $1 billion per year to build the work forces of other states.”
Perhaps they should consider not spending it. Then Michigan taxpayers could get a tax exemption, too.