According to a recent study, New Jersey is one of the worst states in the nation for both economic performance and outlook.
The annual study—Rich States, Poor States—comes from the American Legislative Exchange Council Center for State Fiscal Reform, which ranks all 50 states according to 15 different state policy variables. These include personal and corporate income tax rates, personal income tax progressivity, property tax burden, the imposition of an estate/inheritance tax, state minimum wage, workers’ compensation costs, right to work legislation, GDP and nonfarm employment growth, and domestic migration.
New Jersey received low marks in most categories, earning a 48th rank for economic outlook and 47th rank for economic performance.
“Despite the governor’s repeated exhortations for reforms since assuming office in 2010, substantial change has proved elusive for the Garden State,” the study authors wrote. “As a result, economic outlook remains dismal relative to the other states… The top marginal income tax rate for individuals and corporations (state and local rates combined) remain the 4th and 9th highest in the nation respectively. As mentioned, the property tax burden is the worst in the nation. Furthermore, economic growth remains stunted by forced unionization and the third-highest workers’ compensation costs in the nation. It’s no wonder that New Jersey has experienced domestic outmigration each year for more than a decade. Renewed economic robustness requires a bipartisan commitment to extensive reforms on these economic matters.”
