How does the MI FairTax affect Michigan competitiveness in trade with other states and countries?
Michigan goods exported to other states and countries will have a competitive advantage because they will no longer carry with them the hidden cost of embedded state tax expenses, as they do now. This means that they can be sold for less, while maintaining the same profit margins. This will benefit Michigan businesses and promote job creation. Today Michigan labor and business are at a competitive disadvantage due to the high level of taxes that they must pass on in higher prices. Under the MI FairTax, Michigan labor and business will have the most competitive tax structure in America.
