Texas has 2nd-best economy among states in 2025

Alexis Simmerman

Austin American-Statesman

USA TODAY NETWORK

When compared with other states, Texas is just below average — according to a new ranking by U.S. News & World Report.

Since 2017, the news media company has analyzed the 50 U.S. states across a variety of categories, including healthcare, education, natural environment, opportunity, economy, crime and corrections, infrastructure, and fiscal stability

So, how did the Lone Star State do in the 2025 rankings? Well, it wasn’t the best — but it wasn’t the worst, either.

Texas ranks 2nd in economy, No. 29 overall

While most states in the South ranked low, accounting for the majority of the 10 lowest-ranked states, the Lone Star State appeared in the middle of the pack. In its spot at No. 29, it ranked above Arizona and below Hawaii.

Texas boasted the second-best economy in the country, behind Florida. Despite also doing well in 'fiscal stability' and 'infrastructure,' it also ranked third-lowest in 'opportunity' and fifth-lowest in 'natural environment.'

Here’s how Texas ranked in each category.

•Healthcare: No. 32

•Education: No. 25

•Natural environment: No. 46

•Opportunity: No. 48

•Economy: No. 2

•Crime and corrections: No. 40

•Infrastructure: No. 18

•Fiscal stability: No. 12

LIST: 10 best US states

Utah ranked No. 1 on U.S. News’ list for the third consecutive year. The western state boasted the third-highest labor participation rate at nearly 69%. It also claimed the fourth-highest rate of gross domestic product (GDP) growth at 4% and the fourth-highest rate of business creation.

Curtis Blair, president and CEO of the Utah Valley Chamber of Commerce, attributed the state’s ranking to its evolving, diverse economy.

'[Twenty-five years ago,] Utah was probably known for three things: ‘Footloose,’ green Jell-O, and the third would be a very youthful workforce,' Blair said. 'There’s a lot that has happened in Utah in the last 20 years where we have moved… to being an entrepreneurial, startup state.'

Utah, which has consistently ranked in the top five every year that U.S. News has published rankings, was once again joined by New Hampshire in the No. 2 spot. The New England state performed the best under the 'crime and corrections' category and fourth-best in national environment. Minnesota also kept its ranking at No. 4 overall. Idaho and Nebraska switched places from last year, with Idaho ranking No. 3 and Nebraska, No. 5.

Florida was the only Southern state in the top ten, despite ranking low in housing affordability and income equality.

1. Utah

2. New Hampshire

3. Idaho

4. Minnesota

5. Nebraska

6. Florida

7. Vermont

8. South Dakota

9. Massachusetts

10. Washington

LIST: 10 lowest-ranking US states

Like the top states, the 10 lowest-ranking states were relatively consistent in their scores. Louisiana landed at the bottom once again, also ranking 50th in the 'crime and corrections' and 'economy' categories. Its highest score was in 'healthcare,' where it ranked No. 44. Other states ranking the lowest in categories were Mississippi (No. 48 overall) in 'healthcare,' New Mexico (No. 47 overall) in 'education' and West Virginia (No. 46 overall) in 'infrastructure.'

However, some of the lowest-ranking states

did

fare well in some categories. West Virginia ranked No. 8 in 'opportunity' and No. 19 in 'crime and corrections.' Pennsylvania (No. 41 overall) ranked No. 11 in 'healthcare,' and Oklahoma (No. 42 overall) ranked No. 19 in 'economy.'

1. Louisiana

2. Alaska

3. Mississippi

4. New Mexico

5. West Virginia

6. Alabama

7. Arkansas

8. Michigan

9. Oklahoma

10. Pennsylvania