North Carolina ranked 27th in nationwide prosperity index
(The Center Square) – North Carolina is the 27th most prosperous state in the country, according to the 2021 United States Prosperity Index.
The index created by London-based think-tank Legatum Institute is a comprehensive assessment of all aspects of prosperity, including safety and security, business environment, health and living conditions. It was developed with the help of about 40 U.S. academic and policy experts.
The United States is one of the most prosperous countries in the world, ranking 18th out of 167 nations, according to the index. However, prosperity is distributed unevenly across the country, with Southeastern states being the least prosperous.
North Carolina was ranked 20th and below in each index category, except for business environment and infrastructure. The state placed 17th nationally for the amount and variety of investment finance available and how easy it is for businesses to start, compete and expand.
Legatum Institute also ranked North Carolina 17th for its infrastructure. They evaluated the quality of the infrastructure that facilitates trade. Businesses need infrastructure that allows them to communicate and connect them to resources like water and electricity, transport hubs and economic centers, experts said.
“This leads to more competitive and efficient markets, allowing new products and ideas to be commercialized and transported within the U.S. and overseas, ultimately benefiting consumers through a greater variety of goods at more competitive prices,” Legatum Institute said.
North Carolina’s lowest rankings were in personal freedom, social capital and health.
The state was ranked 39th among other states and the District of Columbia for personal freedom, measured by its progress toward basic legal rights, individual liberties and social tolerance. It was ranked 38th for its social capital, for which experts looked at the strength of personal and social relationships, institutional trust, social networks and civic participation.
North Carolina was ranked 36th when experts looked at the health of its population, their illness and risk factors, access to health care and health outcomes.
U.S. prosperity had been rising for more than a decade, but it weakened between 2020 and 2021 because of the pandemic, Legatum Institute said. Before the pandemic, U.S. prosperity had been increasing year-over-year for over 10 years.
“The direct and indirect impacts of the pandemic have resulted in many aspects of prosperity deteriorating over the past year. As the pandemic took hold, all but a handful of states introduced restrictions that curtailed other aspects of prosperity,” the report states. “Social wellbeing, the economy, and institutional strength have all been impacted by the pandemic and how states have responded to it.”
However, Legatum Institute said a record-breaking number of new business applications “signals hope for the recovery.”
Disclaimer: This content is distributed by The Center Square
