No. 5South Carolina
South Carolina managed to boost its highway-infrastructure spending greatly last year without overly taxing business. Still, its tax appeal remained middling while its job growth was strong.
Governor: Nikki Haley (Republican)
Tax Foundation rank: 37
ALEC-Laffer Economic Outlook rank: 31
Kauffman Foundation Index of Entrepreneurial Activity (2012) rank: 16
Total Nonfarm Employment Percentage Growth (2013): 8
Economic-development contact: South Carolina Department of Commerce, 803/737-0400, www.sccommerce.com; Robert M. Hitt III, Secretary of Commerce