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America’s once iconic industrial heartland is facing an economic comeback as large metropolitan areas continue to bleed residents into low-tax states, a prominent Michigan engineer told Fox News Digital.
Rodney Lockwood, Chairman of the Board of the Mackinac Center for Public Policy, warned that high-tax cities like New York City, Los Angeles, and San Francisco are facing a major structural problem.
“I think we have to look at both sides: what doesn’t work, then what will work,” said Lockwood. “Right now, the socialists are on the way, and Zohran Mamdani in New York is perhaps the best example of that. They win races, and their answer is always the same: more taxes and more free stuff.”
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Detroit weather. (Roberto Machado Noa/LightRocket via Getty Images)
Lockwood’s comments come as progressive cities across the country—including New York, Chicago, Boston, and Los Angeles—struggle with taxpayer flight driven by high state and local taxes, ongoing crime concerns, and astronomical costs of living. A new study by the National Taxpayers Union Foundation (NTUF), released on 7 April 2026, has confirmed that taxpayers are fleeing high-tax jurisdictions to go to tax-friendly states.
While Texas and Florida remain the top targets, states like North Carolina, South Carolina and Tennessee are also seeing record gains. Notably, the NTUF metric “Migration in Minutes” found that Texas surpassed Florida in 2022 as the state received a new taxpayer every 4 minutes and 40 seconds.
“I see it as a case of suicidal jealousy,” Lockwood explained. “Belle Isle is going to be on the other side of that equation. We’re going to have a very humane tax system. If you want people to work for their income and dignity, don’t pay taxes—so there won’t be a local income tax. If we want people to come, invest, and produce the tools of production, don’t tax investments.”
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Lockwood is championing a proposal to turn Detroit’s Belle Isle into a self-governing “Liberty City” aimed at setting up a new urban renewal plan across the country.
First developed as a public park in the late 19th century, Belle Isle spans 982 acres on the Detroit River—making it nearly 140 acres larger than New York City’s Central Park. While the city owns the land, it is currently leased to the State of Michigan and operates as a state park under a 30-year agreement signed in 2013.
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Sebastien Bourdais exits a turn during the second race of the IndyCar Detroit Grand Prix auto racing at Belle Isle in Detroit, Sunday, June 5, 2016. (AP Photo/Paul Sancia) (Associated Press)
Under Lockwood’s proposal, private investors would buy or lease an island in Detroit to develop a mixed-use residential, retail and commercial development. The goal is to generate significant economic activity and private sector jobs for a city recovering from decades of population loss.
Lockwood pointed to a recent poll conducted by Michigan pollster Steve Mitchell showing a strong interest in bold economic solutions, with 68% of Detroit voters and perhaps 51% of voters nationwide supporting the idea of special economic freedom zones.
Detroit’s economic trajectory highlights the stark reality of postwar urban decline, Lockwood notes.
“We’re trying to get it back to being the world-class city it used to be,” said Lockwood. “Back in 1950, it was the richest city in the world. Today, it’s one of the poorest in the United States. We’ve gone from 1.85 million people down to about 600,000.”
Lockwood believes the island represents an underutilized asset ready to be transformed into a tax-friendly special economic zone designed to attract global capital. His vision envisions a permanent population of 50,000 residents in 20,000 homes—all built without relying on taxpayer dollars.
The “Freedom City” concept, championed by free market advocates in Mackinac Center, hinges on favoring private business capital with light-touch legislation and a growth-oriented tax structure.
Lockwood cited long-standing socioeconomic challenges throughout the Motor City as evidence that traditional municipal governance has failed.
According to the report, Texas passed Florida in 2022 as the state gained the most new taxpayers. (Stock)
“Detroit is stuck,” Lockwood asserted. “The population has struggled to come back, and we’re facing a looming financial crisis. The COVID-19 relief funds kept the municipal budget afloat for a few years, but that money is gone.”
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Lockwood says transforming Belle Isle could provide the spark needed to revitalize the entire region.
“What Belle Isle can do with 50,000 residents and $50 billion in private investment is to attract the entrepreneurial class,” Lockwood said. “These are business leaders who want to take proven concepts and get into the heart of the world’s largest economy.”
