BY BETHANY BIRON
Daily Staff Reporter
Published March 18, 2010
In the midst of a recession that has plagued the national economy, Ann Arbor and other Big Ten college towns have fared better than the states they inhabit by creating collaborative projects between the towns and the states’ flagship universities.
More like this
But despite these efforts, Big Ten towns have still been affected — though not as severely — by the recent economic downturn. In 2003, Ann Arbor ranked number one in a study of the Big Ten college towns’ per capita GDP published in December 2009 by The Center for Michigan — an Ann Arbor-based non-profit think-tank. But in 2008, Ann Arbor fell to the number four spot.
In the same study, Minneapolis ranked first in 2008, a jump from its number two spot in 2003. Columbus, Ohio was ranked fifth both years, while State College, Pennsylvania saw a slight uptick from 2003 to 2008, moving from number 10 to number nine.
Though Ann Arbor has been affected by the national economic downturn, Kyle Mazurek, vice president of government affairs at the Ann Arbor Area Chamber of Commerce, said the city has managed to rise above the recession by working with the University to strengthen the town’s economy.
“(The University) is a substantial economic engine in our community that we’re very fortunate to have,” Mazurek said. “I think that all communities across the state are suffering to one degree or another, but I think part of the reason that Ann Arbor has been able to weather the storm to a certain extent is because we have (the University) here to help prop us up.”
Mazurek noted that collaborative programs between the city of Ann Arbor and the University as well as efforts to commercialize the “top notch research that is generated at the University” are crucial in helping the city’s and the state’s economies thrive.
He added that being a college town is also something that sets Ann Arbor apart from other cities in the state.
“Not only do you have a really great University that attracts folks from all around, but you’ve got, again, a good urban setting that they want to live in,” Mazurek said.
Ann Arbor's drop from the number one to the number four spot in the per capita GDP ranking is evident in the financial situations of some local businesses.
Bill Loy, owner of Campus Student Bike Shop on Maynard Street — which has been in business for over 40 years — said he has recently seen a drastic decrease in sales that has forced him to cut costs and reduce the number of employees.
“The economy is just way down,” Loy said. “The sales on new bikes, used bikes and repairs are all way down. It’s the lowest it’s ever been in the last 40 years in my opinion.”
Similarly, Maurizio Grillo, co-owner of New York Pizza Depot, said in an interview that his business has been struggling in the faltering economy. Last April, the South University Avenue NYPD location closed its doors to allow the business to focus its resources more on its other locations, which include its East William Street spot.
“If the economy was great, I would’ve never left,” Grillo told The Michigan Daily last April. “But faced with the harsh reality, we thought it was the best thing to do.”
In a recent interview, Grillo noted that NYPD only uses fresh ingredients for its food, but that the price of these products has skyrocketed as the economy has plummeted.





















