The Best States For Business?

Posted: May 16, 2014

Chief Executive magazine annually asks CEOs throughout the nation to determine which states are the best for doing business. They grade states on taxes and regulation, workforce quality and quality of life.

For 2014, Texas, historically situated at the top, remained the best state for doing business. Following the Lone Star State, are a fast-closing Florida, Tennessee, North Carolina, South Carolina, Indiana, Arizona, Nevada, Louisiana, and Georgia. Virginia, a constant in the Top 10, fell to No. 11 this year, down four spots from 2013.Bringing up the rear, as usual, are Illinois, New York, and California.

What ties those in the top quintile together? “If there is a pattern in the survey,” writes J.P. Donlon, editor in chief of Chief Executive, “it is that states have diverged in recent years in their experimentation with economic freedom. Those lightening the burden of government have generally improved economic growth over those insisting that state-directed spending and governance is best.”

It also must be stated that every state in the Top 10 reaps the benefits of a right-to-work law. There’s also a common political denominator: All 10 states are led by Republican governors.