TRAVERSE CITY, Mich. -- Jennifer Tank and her family will vacation as usual on an island on the Wisconsin side of Lake Superior this summer. But there won't be many frills.

"We are doing it again this year, and taking some friends to share costs and food," said Tank of Traverse City. "We're just not going above and beyond anything this year."

Her story rings true with families across Michigan, many of whom are hunkered against an economy that's ravaged businesses and workers throughout the state. That frugal posture is leaving an eerie, storm-cloud-overhead feeling among those who live and have businesses in the Grand Traverse region, where tourism pays the bills.

The state's economy, particularly the automotive industry, has cast a pall over reservations at the Grand Traverse Resort & Spa in Acme.

"We are having a very difficult time forecasting this year," said spokesman J. Michael DeAgostino. "The bookings that we're seeing are very short-term."

Good weather weekends this summer should provide a boost in last-minute travelers, he said. But a string of poor weekends would mean trouble.

"This could be, really, the most challenging season we've seen since the resort opened in 1980," DeAgostino said.

Statewide travel, an estimated $18 billion sector in Michigan, is projected to drop by 3 to 4 percent this year, according to estimates from Michigan State University. Travel volume in Michigan was down more than 6 percent last year.