The economies of Michigan: Lansing

By the numbers

$20.4 billion

Size of local economy, 2013


Percent economic growth, 2012-2013.


Rank, among 14 metropolitan
regions in Michigan, in terms
of one-year growth


Rank, among 382 metropolitan
regions in country, in terms of one-year change in GDP


Rank, among 14 Michigan regions,
in overall economic size


Rank, among 382 metropolitan
regions in country, in terms of economic size.
(The region has three counties -- Ingham,
Eaton and Clinton -- totaling 465,732 people,
ranking 109th in population.)

The Business Buzz

The output of durable goods, which includes items like household appliances, machinery and automobiles, climbed by more than 10 percent in 2013 over 2012 to $2.4 billion.

Overall manufacturing in this region stands at just under 14 percent, a smaller share than the rest of the state. The information sector, including Internet providers, broadcasting, publishing and data processing companies, grew by nearly 10 percent to $587 million, a 27 percent increase from its pre-recession output in 2007.

The accommodation and food services sector fell 3.4 percent, and is more than 17 percent below 2007 levels. Government GDP fell slightly and remains nearly one-fourth below where it was in its peak year of 2001. That sector accounts for a fifth of the region's economy.

Overall economic annual growth stood at 2.4 percent, above the state average.

Manufacturing remains a key component of the region, and General Motors has boosted production in Lansing and in Delta Township, said Sandra Gower, Ingham County economic development coordinator.

But she noted other sectors have seen growth too.

“Going forward, we have a large insurance sector with headquarters for a number of insurance companies and we expect to see continued growth there,” Gower said. “Government is a huge factor in our region. State government is the largest local employer. When the state or even local government is downsizing, it has a ripple effect throughout the economy.”

Top 10 industries: Long way to go for region

Lansing’s biggest industries are still struggling to recover from depths of the recession, though manufacturing and the information sector are closest to pre-2008 levels.

Sector 2013 GDP
(in $ millions)
Percent of economy Peak year Change (2013)
from peak
Change from 2007 Change from 2012
Finance, insurance, real estate, rental, and leasing 4,646 22.8% 2006 -8.2% -8.9% 2.4%
Government 4,030 19.8% 2001 -24.6% -7.7% -2.7%
Manufacturing 2,832 13.9% 2007 -0.4% -0.4% 9.6%
Educational services, health care, and social assistance 1,913 9.4% 2010 -1.2% 4.8% 1%
Professional and business services 1,587 7.8% 2001 -7.2% 1.2% 2%
Retail trade 1,157 5.7% 2003 -18.8% -10.2% 0.2%
Other services, except government 596 2.9% 2001 -21.1% -15.4% -2.2%
Information 589 2.9% 2013 0% 21.3% 9.7%
Construction 588 2.9% 2001 -44% -25.3% 3.9%
Arts, entertainment, recreation, accommodation, and food services 521 2.6% 2007 -13% -15% -1.6%

Although it's not an "industry" by federal definition, government services were included in the list.

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