No. 3Tennessee
Tennessee is benefiting from the boom in domestic auto production, hosting Nissan. But its pro-labor credentials took a hit from the union dalliance of Volkswagen workers in Chattanooga.
Governor: Bill Haslam (Republican)
Tax Foundation rank: 15
ALEC-Laffer Economic Outlook rank: 18
Kauffman Foundation Index of Entrepreneurial Activity (2012) rank: 35
Total Nonfarm Employment Percentage Growth (2013): 27
Economic-development contact: Tennessee Department of Economic and Community Development; 615/741-1888, www.tn.gov/ecd; Bill Haggerty, Commissioner