And The 2009 Winner Is....

Another year, another ALEC report and another impressive showing for Utah. The 2009 ALEC-Laffer State Economic Competitive Index and Utah again ranks number 1 for the second year in a row (HT the Senate Site). Minnesota, on the other hand dropped down to 40th place this year (they were 35th last year). My post on the subject last year outlined the criteriawhich you can also find in their report) on which the states are graded and anyone who was paying attention in St. Paul knew that the drop was coming after last years legislative session.

One of the tables that caught my eye was the one on page 24 (table 8). It showed the rate of economic growth from 1997 to 2007 for the states with the top 10 highest and bottom 10 lowest corporate income tax rates. Minnesota, which has the 6th highest CIT, had a gross state product growth rate of 63.5%, a person income growth per capita rate of 50.7% and a population growth rate of 8.5%. Meanwhile Colorado ( #2 overall on the list) had a gross state product growth rate of 77.8%, a person income growth per capita rate of 52.1% and a population growth rate of 20%.

It comes to no one's surprise here in Utah that things are so good (we were called the "Best Mananged State" by the Pew Center) but it is also a sign that this recession will not be as bad, as long or as hard here just because our legisture has managed to do their job (on this front anyway).

We may have lots of things to argue with our legislature on (and we will) but this is one time we do need to give credit where credit is due. They (and the Governor) made the hard choices that were necessary to keep the state on an even keel. Meanwhile, the Democrats in charge of the House and Senate are on yet another spending spree. One wonders if they are shooting to steal that covedted 50th spot away from New York.