The Buckeye Institute has released a new report measuring economic freedom in 2022
Columbus, OH – For the third year running, Ohio has ranked a mediocre 35th out of all 50 states in the Economic Freedom of North America 2022 report, released by the Economic Research Center at The Buckeye Institute in partnership with Canada’s Fraser Institute. The report ranks every state and province in North America based on economic freedom, as measured by government spending, taxation, and labor market restrictions.
“In the 2022 Economic Freedom of North America report, Ohio is 35th in the nation for economic freedom for the third year running. Despite this below-average score, Ohio made incremental progress reforming its tax code and occupational licensing regime,” said Rea S. Hederman Jr., executive director of the Economic Research Center and vice president of policy at The Buckeye Institute. “Although Ohio has maintained a mediocre, the 2023 budget year offers opportunities for dramatic improvement. Next year, Ohio must prioritize reducing government spending, making responsible tax reforms, and promoting labor market freedom. Adopting pro-growth, pro-freedom economic and regulatory policies will help make Ohio a place where businesses, workers, and families can pursue the American dream.”
The report’s latest edition uses a revised methodology to score states on their government spending, taxation, and labor market restrictions. The current rankings are based on data from 2020 (the latest year data was available). Once again, Ohio ranks 35th among the 50 states in overall economic freedom, scoring 5.67.
Ohio’s Ranking in Key Area
Government Spending – 42nd
- Transfers and subsidies as a percent of personal income – 31st
- Insurance and retirement payments as a percent of personal income – 49th
Taxes – 22nd
- Income and payroll tax revenue as a percent of personal income – 27th
- Top Marginal Rate and Income Threshold at Which it Applies – 11th
- Property tax and other tax revenue as a percent of personal income – 17th
- Sales tax revenue as a percent of personal income – 34th
Labor Market Freedom – 29th
- Minimum wage income as a percent of per capita personal income – 30th
- Government employees as a percent of total employees – 16th
Originally published by The Buckeye Institute. Republished with permission.
For more from Budget & Tax News.
For more public policy from The Heartland Institute.