Detroit Economic Club

Kentucky Senator Rand Paul says Detroit needs “freedom from government” to flourish again economically—and told the Detroit Economic Club Friday he has a plan to make that happen.

Paul is proposing legislation that would create “economic freedom zones” in high-unemployment areas like Detroit.

He says those areas would work like “enterprise zones on steroids,” mostly by lowering taxes.

Gage Skidmore / Flickr

DETROIT (AP) - A Kentucky Republican senator who may run for president says bankrupt Detroit needs lower tax rates to recover.

Rand Paul speaks Friday at the Detroit Economic Club. He gave a preview of his message to reporters Thursday, saying cities with high unemployment like Detroit need lower tax rates to stimulate economic growth.

Paul says it's time for "something dramatic to happen."

He's pledging to introduce legislation Monday but acknowledges the bill may face a chilly reception in Congress. Paul supports a flat tax rate of 5 percent in neighborhoods with unemployment above the national figure.

Paul is considering a run for the Republican nomination for president in 2016.

Three Michigan members of Congress talked about jobs, the federal budget deficit, and partisan gridlock at the Detroit Economic Club.

Democrats Gary Peters and Sander Levin, and Republican Candice Miller all represent suburban Detroit districts in the U.S. House.

Miller says the current problems in Washington stem from ideological differences about the role of government. She thinks the government needs to slash what she calls “out of control spending.”

Center for American Progress / Flickr

U.S. Treasury Secretary Timothy Geithner will visit Michigan today. He'll make an appearance at the Detroit Economic Club. Geithner will speak with Detroit's political, business and community leaders about the economy, the Associated Press reports. From the AP:

Geithner's appearance Thursday afternoon is part of the Detroit Economic Club's 2010-11 meeting season.

President Barack Obama swore Geithner in as the 75th treasury secretary in January 2009. He was deeply involved in the negotiations that led to billions of dollars in government loans being given to General Motors and Chrysler.

Detroit and Michigan have suffered as much as any city or state economically over the past few years. Thousands of workers have been laid off as businesses have been forced to close or downsize.

Congressman Mike Pence
Photo courtesy of www.mikepence.house.gov

Indiana Congressman and possible 2012 presidential candidate Mike Pence visited the state yesterday. The Republican was in Michigan to deliver a speech at the Detroit Economic Club. The Club is a traditional stop for politicians considering a bid for the presidency. 

Michigan Radio's Tracy Samilton reports that Pence used the speech to call for major tax reforms and said Democratic policies to stimulate the economy aren't working.

As The Detroit Free Press reports:

Pence's is one of about a dozen names that have surfaced as possible presidential candidates in 2012. He is the chairman of the Republican Conference Committee, the third ranking position among the GOP in Congress.