Traverse City Record-Eagle


November 17, 2013

Banker looks at economy

Mitchell Stapley, chief investment officer for Fifth Third Bank, gave Grand Traverse region business leaders an in-depth look at the economy this week at the Traverse City Area Chamber of Commerce’s 2014 Economic Outlook event. The following are highlights from his remarks:

- Financial markets — The financial markets are “on a tear” in 2014, Stapley said. The rise in the markets represent a renewed belief in the American economy globally. “Clearly, the performance of the equity markets this year is consistent with one of the things we’ve focused on: you want to be invested in America.”

- Detroit bankruptcy — “If there was ever a city that needed a Chapter 9 bankruptcy filing, it’s the city of Detroit,” Stapley said. “Think of what we could do as a state if instead of having Detroit as a drag, all of a sudden Detroit becomes a real source of economic vitality. The rest of the state is doing pretty well. It could do better if Detroit starts to pick up.”

- Affordable Care Act — “In terms of pure economic impact ... it doesn’t look like (its) percentage of GDP is a big

number, but it is a big number based on the uncertainty it is creating. People are losing healthcare that they have right now ... I’m just really uncertain, and I think a lot of other people are, that the Affordable Care Act is the answer.”

Tax code reform - “You hear a lot of people talk that the corporate tax rate is too high. Thirty-five percent on a margin basis. Well, no one pays it. Google has an effective tax rate of 2 percent. General Electric had $13 billion in revenue and had an effective tax rate of zero. That can’t go on like that. We have too regressive of a tax system. We need to broaden the base and bring it down and have certainty.”

Text Only

the BIZ
AP Video
Netanyahu Vows to Destroy Hamas Tunnels Obama Slams Republicans Over Lawsuit House Leaders Trade Blame for Inaction Malaysian PM: Stop Fighting in Ukraine Cantor Warns of Instability, Terror in Farewell Ravens' Ray Rice: 'I Made a Huge Mistake' Florida Panther Rebound Upsets Ranchers Small Plane Crash in San Diego Parking Lot Busy Franco's Not Afraid of Overexposure Fighting Blocks Access to Ukraine Crash Site Dangerous Bacteria Kills One in Florida Workers Dig for Survivors After India Landslide Texas Scientists Study Ebola Virus Smartphone Powered Paper Plane Debuts at Airshow Southern Accent Reduction Class Cancelled in TN
Hyperlocal Search
Premier Guide
Find a business

Walking Fingers
Maps, Menus, Store hours, Coupons, and more...
Premier Guide