The governor attended the chamber's annual policy conference on Mackinac Island, the Detroit Free Press reported. She took credit in her speech for cutting the cost of government and raising Michigan's high school graduation rate, saying both things are helping the economy.
Granholm said Michigan must deal with the reality that its old economy based on the auto industry and manufacturing is gone for good. The state must improve education and send more of its children to college, she told the Chamber.
"We cannot be afraid to steer right into the things we have most resisted," she said.
Granholm, who leaves office in January, got a standing ovation before she began her speech.