Florida ranks number one in fiscal and economic freedom takes second place for freedom in the U.S. overall, according to the CATO Institute’s index measuring personal and economic freedom.
“Florida ranks #1 among the states for economic freedom!” Gov. Ron DeSantis (R) celebrated on social media Monday.
His happiness was made clear as the analysis explains why Florida surpasses the 49 remaining states in this particular category, pointing first to the state’s lack of individual state income tax:
Florida’s state-level tax collections are more than 1.5 standard deviations below the national average, whereas its local tax collections are a little lower than average. Florida’s fiscal decentralization does not offer a great deal of choice to homeowners, however, because the state has only about half an effective competing jurisdiction per 100 square miles. Government consumption and debt are lower than average. Government employment is much below average, falling from 11.2 percent of private employment in 2010 to 8.3 percent in 2019.