New Mexico (April 17, 2018) — The American Legislative Council (ALEC) today released the much anticipated 2018 edition of Rich States, Poor States. Utah again earns the top spot for states with the best economic outlook, followed by Idaho, Indiana, North Dakota and Arizona. Several states’ success in increased rankings can be tied directly to the success of federal tax reform and the resources it gave to lawmakers to cut taxes at the state level. New Mexico ranks 35th for economic outlook in 2018, unchanged from last year. Why is our state not doing better in comparison to other states and what could elected officials do to improve the economic outlook? “Talking with Jonathan Williams, co-author of Rich States, Poor states, confirms that New Mexico’s Gross Receipts Tax is one of the worst tax structures in the United States,” said Carla Sonntag, president, New Mexico Business Coalition. “It has a negative impact on our ability to compete for business and must be reformed.”
Jonathan Williams, Chief Economist for ALEC and Vice President of the American Legislative Exchange Council Center for State Fiscal Reform, will be the keynote speaker at an NMBC BASH (Business and Social Hour) on May 3rd. He will discuss the book and its findings in regards to New Mexico’s challenges and opportunities for success. The event will be held at the Hobbs Country Club from 5 – 7 pm. Seating is limited and tickets are available HERE. Used by state lawmakers across America since 2008, Rich States, Poor States: ALEC-Laffer State Economic Competitiveness Index, is authored by White House Advisor and economist Dr. Arthur B. Laffer, White House Advisor and Economist Stephen Moore, and Jonathan Williams.
“The untold story of federal tax reform is its impact at the state level, where the vast majority of states are now enjoying unexpected revenue gains,” said Jonathan Williams, Vice President of the ALEC Center for State Fiscal Reform. “This trend is empowering additional pro-growth tax reform efforts that will provide an added level of benefits for hardworking taxpayers. As states compete with each other for much-needed human and financial capital, there is a clear trend in favor of taxpayer-friendly, market-oriented reforms.”
In the past five years alone, 30 states have significantly reduced their tax burdens. Those that fail to adapt to this competitive environment can fall behind by simply standing still. The facts remain clear that pro-growth policies are working and there is a clear trend in favor of market-oriented reforms.
To download a copy of Rich States, Poor States and to see individual state data, visit richstatespoorstates.org.
The New Mexico Business Coalition (NMBC) is a statewide nonpartisan, probusiness organization and state affiliate for the National Association of Manufacturing. NMBC focuses on improving the business environment for companies and the quality of life for all New Mexicans. Its nonpartisan educational efforts focus on providing New Mexicans the facts about issues impacting business opportunities and job creation in our state. For more information, please visit our website at www.nmbizcoalition.org.
The American Legislative Exchange Council is the largest nonpartisan, voluntary membership organization of state legislators in the United States. The Council is governed by state legislators who comprise the Board of Directors and is advised by the Private Enterprise Advisory Council, a group of private, foundation and think tank members. For more information about the American Legislative Exchange Council, please visit: www.alec.org.