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theboardiQ Economic Relevance Score

theboardiQ Economic Relevance Score, ranks States of USA based on 11 parameters

Sources : ForbesUSDA Economic Research | TCGen Total Innovation Rank Index | Best States for Manufacturing | World Population Review | Tax Foundation | US News | BEA Data | Wikipedia International Trade Administration

theboardiQ's Economic Relevance Score provides a comprehensive, data-driven assessment of a nation's economic vitality and global significance. This score is meticulously calculated using 11 key parameters, each reflecting a critical facet of economic performance. It analyzes the representation of Fortune 500 companies within a nation, a strong indicator of its business environment and market size. The balance of trade surplus or deficit reveals the nation's international competitiveness and export strength. It incorporates Gross Domestic Product (GDP), a fundamental measure of overall economic output, and examine the health of key sectors like agriculture and manufacturing. The score also accounts for innovation, gauging a nation's ability to drive future growth through technological advancements. Crucial labor market indicators such as employment rates are considered, alongside fiscal policies reflected in tax rates. To capture the lived experience of citizens, it assesses cost of living and disposable income, providing insight into purchasing power and economic well-being. Finally, education levels are integrated, recognizing their pivotal role in fostering a skilled workforce and driving long-term economic development. By synthesizing these 11 parameters, theboardiQ's Economic Relevance Score delivers a nuanced and holistic view of a nation's economic standing, enabling informed strategic decisions. The Top 5 States in the assessment are Texas, North Carolina, Virginia, Florida and Washington. Texas does consistently well across most of the 11 variables especially in the areas of GDP, F500 representation in the State, Balance of Trade where it ranks 2nd nationally. North Carolina scores as the highest-ranking state nationally in manufacturing and performs consistently across the other variables. Virginia does well in disposable income where it ranks 3rd nationally. It also scores high in the variables of manufacturing and employment Florida holds the 4th ranking nationally for GDP and Tax Washington State scores the top spot for disposable income nationally, 2nd for education and 3rd for innovation. Colorado, with an overall rank of 7 scores the top spot for Education (schools and higher education). Nebraska, that ranked 10th overall, did well in Agriculture where it is ranked 3rd nationally as well as Trade Balance where it ranked 5th. Illinois, though ranked 20th overall did well nationally in F500 representation, GDP, Agriculture, and Disposable Income. Pennsylvania comes in at 21 overall doing well nationally in GDP (6th); Manufacturing (8th) and F500 representation (8th) New York scores 23rd overall with a 2 ranking in Disposable Income nationally, as well as 3rd in both F500 representation and GDP. California comes in at 29th overall and has the top spot ranking in a whopping 4 variables nationally – GDP, Innovation, Agriculture and F500 representation. However, performance in the areas of Trade Balance, Cost of Living, Tax, Manufacturing and Employment resulted in the overall ranking dipping. Wyoming at 30th overall scores the top spot nationally in the area of Tax Massachusetts at 31 overall does well in innovation where it is ranked 2nd nationally Arkansas at 36 and Alabama at 39, do well in overall Cost of Living where they are ranked 2nd and 3rd nationally, respectively. Louisiana ranked 44th overall is ranked 1st in Trade Balance nationally.

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Economic
Relevance
Ranking

1 Overall Rank

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2 GDP

Source - BEA and Wikipedia - A comprehensive measure of the economies of each state and the District of Columbia. GDP estimates the value of the goods and services produced in a state.

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3 Manufacturing

State
Details
Manufacturing Overall Rank
North Carolina
1
South Carolina
2
Tennessee
3
Indiana
4
Kentucky
5
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Source - Site Selection Group utilizes GeoCision® to score and rank states based on their competitiveness for corporate investment (Best States for Manufacturing). The data is based on 3 broad categories: Workforce & Market Alignment Operating Costs Geographic Positioning

4 Innovation

Source - TCGen - The data includes per capita R&D investment, per capita venture capital investment, small businesses created, patent creation rate, and the SBA amount funded.  Total Innovation Rank Index based on the following indexes: Financial Incentives Index (average) Innovation Vitality Index (average)

State
Details
Innovation Overall Rank
California
1
Massachusetts
2
Washington
3
Colorado
4
Texas
5
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5 Tax

Source - Tax Foundation - The State Tax Competitiveness Index compares each state on more than 150 variables in the five major areas of taxation (corporate taxes, individual income taxes, sales and excise taxes, property and wealth taxes, and unemployment insurance taxes and then adds the results to yield a final, overall ranking

State
Details
Tax Overall Rank
Wyoming
1
South Dakota
2
Alaska
3
Florida
4
Montana
5
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6 Employment

Source - US News - It evaluates three metrics: unemployment rate, job growth and labor force participation. While the labor force participation rate measures the percentage of the population that is either employed or actively looking for a job, the unemployment rate measures the percentage of the labor force that is out of work.

State
Details
Employment Overall Rank
Utah
1
North Dakota
2
South Dakota
3
Colorado
4
Vermont
5
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7 F500 Representation

Source - Visual Capitalist - Based on data from the 2024 edition of the Fortune 500, this variable reveals the number of Fortune 500 companies headquartered in each state.

Title
Image
F500 Overall Rank
California
1
Minnesota
10
Massachusetts
11
Michigan
12
Connecticut
13
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8 Agriculture

Source - USDA Economic Research Service - The data includes Farm Income and Wealth Statistics - Cash receipts by commodity State ranking

State
Details
Agriculture Overall Rank
California
1
Iowa
2
Nebraska
3
Texas
4
Illinois
5
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9 Education

Source - World Population Review (Public Schools) and US News (Higher Education) - The School Quality subcategory evaluates states across 12 indicators, including % of teachers who meet all state licensing requirements, annual per-pupil spending, pupil-to-teacher ratio, schools that require health education. The Student Safety subcategory evaluates states across 15 indicators, including bullying rate, instances of crimes such as robbery or sexual assault, and the prevalence of illegal drug sales on school property. The Student Success subcategory evaluates states across 15 indicators, including SAT scores, ACDT scores, expulsion rates, dropout and graduation rates, and rates of students who go on to attend college. Higher Education - It comprises metrics reflecting the share of citizens in each state holding college degrees, as well as college graduation rates, the cost of in-state tuition and fees, and the burden of debt that college graduates carry.

State
Details
Education Overall Rank
Colorado
1
Washington
2
Wyoming
3
Iowa
4
South Dakota
5
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10 Trade Balance

Source - International Trade Administration - this tool to explore goods trade trends between individual states and specific trading partners globally

State
Details
Trade Balance Overall Rank
Louisiana
1
Alaska
10
Vermont
11
West Virginia
12
Kansas
13
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11 Cost of Living

Source - Forbes - Cost of living refers to the average amount one can expect to spend on essential expenses while maintaining a reasonable lifestyle in a particular location during a specific period

State
Details
Cost of Living Overall Rank
Mississippi
1
Missouri
10
Kentucky
11
Louisiana
12
North Dakota
13
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12 Disposable Income

Source - Forbes - While Cost of Living is important - Disposable Income is equally relevant. Hawaii took the top spot for cost of living. With an average annual expenditure of $55,491, its residents have just $9,550 to spend per year on average. Consequently, Hawaii ranked as the state with the lowest disposable income.

State
Details
Disposable Income Overall Rank
Washington
1
New Jersey
10
Ohio
11
California
12
Texas
13
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