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Economic Troubles

There is a widely-repeated right-wing claim that Detroit's economic problems and subsequent bankruptcy were due to excessive spending on social programs; this is false.

Detroit was heavily dependent on its automobile manufacturing industry, which largely grew up there. When management styles changed starting in the 1980s to a more aggressively profit-driven mode, the companies began moving jobs from Detroit to other locations -- decimating Detroit's economy.

Even worse, the remaining large businesses then threatened to leave as well if Detroit didn't give them steep tax breaks, further eroding its revenue.?



  • Wikipedia
  • Conservapedia "...due to mismanagement, became so beholden to liberal interests that industry failed, for the most part."
  • dKosopedia (site down on 2014-03-20; can't verify page)

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