They hate New York.
Already depressed by the coronavirus crisis in the state, New York has been declared the state with the worst economic outlook in America.
And, according to a new report, it’s driving people to flee to other states, making it the worst state to hang on to its tax-paying citizens.
In the latest state-by-state economic review by the American Legislative Exchange Council, New York ranked 50th for “economic outlook.” It’s been there before. The 2019 cellar ranking in the 13th Rich States, Poor States was the sixth in a row. Seven years ago, in 2013, ALEC ranked it 49th.
The reasons for its dead-last rating range from high taxes to high migration out of the state, said the report, shown below.
“One of the ultimate measures of whether a state is successful or not is, are people voting with their feet towards that state or away from that state. Of course we’ve seen some big trend lines over the years now by changes in federal policy such as the limitation to state and local tax or SALT deduction that has put pressure on high-tax states and has driven migration away from states like New York. We’ve recently seen these trends accelerate,” said one of the report’s authors, Jonathan Williams.
Another, economist Stephen Moore, added, “You’re seeing a migration of people out of these high-tax states. It’s really putting a stress on the budgets in states like New York, Connecticut, New Jersey and Rhode Island.”
New York has not had a good year. It was hit hardest by the coronavirus crisis, and its economy was hit hard in the subsequent shutdown.
While New York remained stuck at the bottom of the list, Utah kept its No. 1 spot.
