New report finds GOP-led states are doing better economically

by mcardinal

Curt Flewelling, FISM News

A new report by the American Legislative Exchange Council (ALEC), indicates that Republican-led states are doing far better economically compared to Democrat-led states. The results are found in the group’s 16th edition of Rich States Poor States.

ALEC is a nonprofit organization comprised of conservative state legislators and private sector representatives who draft economic policy. Their annual report is co-authored by renowned economist Arthur Laffer. He is best known for developing the Laffer Curve, a simple graph showing the direct correlation between tax rates and tax revenue.

The annual report ranks all 50 states from best to worst for their willingness to create an economic environment whereby businesses and citizens can prosper and their state economies can thrive. The rankings use 15 metrics based on taxation, wages, and burdensome regulation.

The findings reflect that 13 of the top 15 states were led by Republicans, and 14 of the states ranked at the bottom of the list were led by Democrats. These findings are not news to individuals who have fled economically depressed blue states to states whose economies are thriving.

ALEC’s Jonathan Williams, who co-authored the report, told the news outlet The Center Square, “Taxpayers are continuing to vote with their feet against high tax states and going toward states that offer more economic opportunity and really a better quality of life and a lower cost of life.”

These clear economic disparities between tax and spend states and states that cut taxes and have fewer regulations, will no doubt be exploited by Republican presidential hopefuls as the 2024 campaign season nears.

All of the top contenders for the GOP presidential nomination are free-market capitalists and almost all of those vying for the Democratic presidential nomination are not. Governor Ron DeSantis has touted the success of his economic policies as he crisscrosses the country, ramping up to a possible run for president.

In his State of the State address, the governor highlighted the fact that the Sunshine State’s economic policies have been a huge accomplishment. He said, “In the last two years, the state has seen its largest budget surpluses in history while having the lowest per capita state tax and lowest per capita state debt burden among large states.”

Florida is also ranked number in net migration and new business formation.