The American Legislative Exchange Council (ALEC) published their 19th edition of “Rich States, Poor States,” which measures the economic outlook and performance of all 50 states using the ALEC-Laffer State Economic Competitiveness Index.

For the third year in a row North Carolina ranks 4th overall in Economic Outlook behind Utah, Tennessee, and Indiana.

Ranking as low as 26th prior to the Conservative takeover of the North Carolina General Assembly, North Carolina reached second place overall in 2016 and again in both 2022 and 2023.

In a press release announcing this year’s report, ALEC shared about the criteria used to rate all 50 states:

‘The authors utilize 15 economic policy variables to rank the economic outlook of every state and highlights that cutting taxes, paying down debt, and maintaining free market policies have significantly helped states attract new residents. Notably, eight of the top 10 states have a flat personal income tax or no state income tax at all.

“As laboratories of democracy, the top states in this year’s report are demonstrating that low-tax, light-touch regulatory policies attract families, businesses, and opportunity,” said ALEC President and Chief Economist Jonathan Williams. “Meanwhile, states at the bottom of the rankings continue to lose residents to those embracing economic freedom.”

The full report can be viewed here.