A new report ranks New Jersey last among seven Northeast and mid-Atlantic states for business climate, marking the eighth consecutive year it has finished at the bottom of the list.
The New Jersey Business and Industry Association analysis found Pennsylvania had the region’s friendliest business climate, while Delaware ranked third.
The report looked at New York, Connecticut, Massachusetts and Maryland, as well…
Location and workforce offset disadvantages
Rutgers University economist James Hughes, dean emeritus of the Edward J. Bloustein School of Planning and Public Policy, said while taxes in New Jersey may be high, they must be weighed against the several advantages the state has.
“A century ago, we had the European waves of immigration that fed our factories, and now our highly educated workforce fills the high-technology jobs of the present and future,” he said. “In many cases, firms treasure their New Jersey employees and don’t want to lose them by moving out of state, so they do keep operations here.”
Hughes said many companies have key markets in New Jersey.
“A typical example would be a very large accounting firm,” he said. “If most of their customers are here and their employees live here, they’re pretty well locked into the state.”
He noted New Jersey’s geographical location offers cultural and financial advantages to corporate officials and their staff.
“Their spouses have opportunities for employment, not only in New Jersey, but in New York and Philadelphia. And New Jersey has one of the best K-12 educational systems in the country,” Hughes said.