Virginia’s steady decline in national business climate study rankings is having a negative impact on the Commonwealth’s economy, according to a new report from the Virginia Economic Development Partnership.
Earlier this month, Chief Executive magazine dropped Virginia’s rating and, unfortunately, so have other surveys of Virginia’s business climate. According to the chart below, Virginia’s average rank in national business climate studies has dropped about seven spots since 2009, with the most precipitous fall off coming during Governor Terry McAuliffe’s term:
What is worse, is that this report was presented before Chief Executive magazine announced its new rating for Virginia.
The report further explains the impact these business climate rankings have on Virginia’s economy:
- “They influence, reflect, and reinforce Corporate America’s perceptions of state business climates.
- They reveal opportunities to enhance a state’s economic competitiveness (or exploit a competitor’s weaknesses).
- At the extremes (e.g. highly-ranked and poorly-ranked states), they can influence whether a state is considered.
- In a rankings-obsessed America, they regularly result in free media coverage, both positive and negative.”
The VEDP report identifies three main factors behind Virginia’s drop in rankings: “business costs, economic climate & growth, and perceptions of CEOs. “
Ed Gillespie’s campaign has advanced numerous policies to address these challenges and revitalize Virginia’s business climate.
Ed’s plan for job creation will remove barriers to creating jobs and streamline the process of business formation.
A 10 percent % across the board tax cut for all Virginians, as Ed has proposed, would stimulate the creation of 53,000 new jobs and spur $300 million of investment into our economy.
As governor, Ed will stand up for Virginia’s Right to Work Laws and undo job-killing regulations on our energy sector.
Ed’s leadership and policies will send a signal to corporate executives across the country that Virginia is once again open for business.