By Jason Schaumburg | The Center Square
Louisiana’s economic outlook ranks 22nd in the U.S. in the American Legislative Exchange Council Center for State Fiscal Reform’s 2021 Rich States, Poor States competitive index.
The report uses 15 equally weighted policy variables to rank the economic competitiveness of states, including various tax rates, regulatory burdens and labor policies.
The index also ranks each state in economic performance by examining data over the past 10 years in cumulative GDP growth, cumulative domestic migration and nonfarm employment growth.
Louisiana’s 22nd-place ranking in economic outlook for 2021 was eight spots higher than its ranking in 2020. In the 15 policy variables used to determine economic outlook, Louisiana ranked in the top 10 for property tax burden (sixth), no estate/inheritance tax levied (first), recently legislated tax changes (ninth), minimum wage (first at $7.25 an hour), average workers’ compensation costs (10th), being a right-to-work state and tax expenditure limits (third).
The state ranked 49th in economic performance, finishing 46th in cumulative GDP growth, 39th in cumulative domestic migration and 46th in nonfarm employment growth.
The American Legislative Exchange Council is the largest nonpartisan, voluntary membership organization of state legislators in the United States. It is governed by state legislators who comprise the Board of Directors and is advised by the Private Enterprise Advisory Council, a group of private, foundation and think tank members.