Marilyn Salenger: ‘White flight’ and Detroit’s decline

By Marilyn Salenger July 21, 2013 Marilyn Salenger is president of Strategic Communications Services and a former correspondent and news anchor for several CBS stations. An almost palpable sadness has swept across the country at the news that the city of Detroit has filed for bankruptcy. While the possibility of this had been discussed, the reality of what was once the fourth-largest city in the United States sinking to such depths is disheartening, a moment people will remember for years to come. To understand that the decline and bankruptcy represent so much more than dollars and cents requires a step back to a time that many would prefer to forget but remains unforgettable. In the late 1960s,racial tensions engulfed parts of our country, at the cost of lost lives and abject destruction. It was the beginning of the ending we are now seeing for a city that once stood tall with head held high. White flight took hold and left a lasting imprint. Continue reading

The Real Story Behind the Detroit Pension Fight and What it Means to America's Future | Lynn Parramore When the city of Detroit filed for Chapter 9 bankruptcy in July 2013, America sucked in a collective gasp. This was the largest municipal bankruptcy filing in U.S. history by the amount of debt ($18 to $20 billion), and Detroit was the largest city ever to officially go bust. A few months before the bankruptcy, the state of Michigan appointed an emergency manager, Kevyn Orr, to sort things out in Motor City. Recently, Orr blasted retirees for resisting his plan to drastically cut their pensions -- 26 percent for general retirees and 6 percent for police and fire, and even more, 34 percent and 10 percent, respectively, if they do not agree quickly. The fight is on. If you think of Detroit as far away and unrelated to life in your hometown, think again. We Are All Detroit More than 50 percent of the children in Detroit live in poverty. “Detroit is the canary in the coal mine of America,” Johnson says. The Real Pension Story 1. 2. 3. 4. “The Detroit facts are really quite simple. 5. 6. 7.

How Can Detroit Bounce Back After Bankruptcy? Credit: AP Detroit’s bankruptcy process could take a year or more. But development experts who focus on the Great Lakes region say the city and the nation must get smart about its medium-term future now. Detroit’s geography will play a crucial role because the city sits on the border with America’s largest trading partner. Pendall isn’t alone in suggesting that so-called Rust Belt cities that have lost the industrial potency that once made them prosperous must be compact in order to be flexible enough to adapt to the next phase of their economic identities. The problems that plague Detroit don’t just belong to the city, however, but also affect the region, specifically the sprawling metropolitan area that is increasingly vacant as younger people move away and older people pass on or retire to warmer climes. American economic policy also has a big role to play in bringing Motown back, Pendall said. Lawmakers will also need to keep in mind the history that led Detroit to this point.

Detroit Bankrupt: To See Detroit's Decline, Look at 40 Years Of Federal Policy In 1960, the richest per capita city in America, according to the U.S. Census Bureau, was Detroit. Today Detroit has filed for bankruptcy, the largest American city to do so. This tragedy is a stark reminder of the unintended consequences of federal legislation that resulted in white flight and caused Detroit's current problems. Before we examine what truly caused the decimation of one the world’s richest cities, let us review just how rapidly the conditions in Detroit have declined. Sixty percent (60%) of all of Detroit’s children are living in poverty. From the New York Times to the Washington Post and across the blue-to-red political spectrum, near universal agreement calls for “letting Detroit go bankrupt.” A major reason for Detroit’s economic woes is often cited from a review of U.S. 2010 Census data, which notes Michigan lost 48% of all its manufacturing jobs from 2000-2010. A major portion of the answer can be found in national reporting concerning the actual effects of NAFTA.