Detroit will continue to face major challenges even after bankruptcy

Jun 24, 2014

Credit Bob Jagendorf / Flickr

    

As the city of Detroit swiftly works its way through bankruptcy court there are some bright spots on the horizon. The state of Michigan, foundations and corporations are contributing millions of dollars to shore up city pensions and protect art held by the Detroit Institute of Arts. Mayor Mike Duggan is making strides to alleviate blight across the city. However, even in a best case scenario, what issues and challenges will the city continue to face even after the bankruptcy proceedings conclude?

Jennifer White, host of All Things Considered, speaks with Michigan State University Economist Eric Scorsone about the challenges facing the city of Detroit and the key systemic issues that the city must address.

Scorsone emphasizes that although there has been some recovery in the city, the challenges of the high unemployment rate, the big differences in the Detroit labor market when it comes to earnings of city residents compared to non-residents, upgrading the skill levels of city residents and the creation of jobs are issues that no one individual will be able to resolve alone, and will require cooperation from many agencies and non-profit organizations.

According to Scorsone, blight removal is an important step, but it is not necessarily the final solution. There needs to be major changes when it comes to land designated for certain uses such as housing, and stabilizing certain neighborhoods is imperative to the city’s future health. 

Listen to the full interview above.

--Omar Saadeh