Maryland In Top 10 State Economies

With California outranking Japan in 2024 as the world’s fourth-largest economy, the personal-finance website WalletHub today released its report on 2025’s Best & Worst State Economies, as well as expert commentary.

To determine America’s top economic performers, WalletHub compared the 50 states and the District of Columbia across 28 key indicators of economic performance and strength. The data set ranges from change in GDP to startup activity to the share of jobs in high-tech industries.

Best State Economies

1. Massachusetts

2. Utah

3. Washington

4. California

5. New Hampshire

6. North Carolina

7. Idaho

8. Texas

9. Maryland

10. Colorado

Worst State Economies

42. Wyoming

43. Nebraska

44. Mississippi

45. Alaska

46. Louisiana

47. South Dakota

48. North Dakota

49. Hawaii

50. West Virginia

51. Iowa

Best vs. Worst

Louisiana has the highest value of exports per capita, which is 59 times higher than in Hawaii, the state with the lowest.
New Hampshire has the lowest share of the population living in poverty, which is 2.7 times lower than in Mississippi, the state with the highest.
South Dakota has the lowest foreclosure rate, which is 22 times lower than in Delaware, the state with the highest.
Massachusetts has the highest share of jobs in high-tech industries, which is four times higher than in Arkansas, the state with the lowest.
South Dakota has the lowest unemployment rate, which is 3.1 times lower than in Nevada, the state with the highest.

To view the full report and your state or the District’s rank, please visit:
https://wallethub.com/edu/states-with-the-best-economies/21697

Key takeaways and WalletHub commentary are included below in text and video format. Feel free to use the provided content as is or edit the raw files as you see fit.

Methodology

In order to determine the best state economies, WalletHub compared the 50 states and the District of Columbia across three key dimensions: 1) Economic Activity, 2) Economic Health and 3) Innovation Potential.

We evaluated those dimensions using 28 relevant metrics, which are listed below with their corresponding weights. Each metric was graded on a 100-point scale, with a score of 100 representing the highest economic performance.

We then determined each state and the District’s weighted average across all metrics to calculate its overall score and used the resulting scores to rank-order our sample.

In-Depth Look at the Best State Economies

Massachusetts

Massachusetts has the best state economy, and it invests a lot more in both industry and academic R&D than most other states, which leads to big payoffs in economic growth. This has led to the state having the second-most invention patents per capita.

The Bay State has a lot of workers in industries that propel the economy forward, too. It has the highest share of jobs in high-tech industries and the third-highest share of STEM professionals.

In addition, Massachusetts has the highest percentage of firms that are listed on the Technology Fast 500 list.

Utah

Utah has the second-best state economy, and at over $88,500, the median annual household income in the state is the second-highest in the country after adjusting for the cost of living. The average income in the state also grew by 6.1% between 2023 and 2024.

The labor market in Utah is also very healthy. Utah has one of the lowest unemployment rates in the country, at 3.2%, along with the eighth-most growth in the civilian labor force between 2023 and 2024.

Finally, the Beehive State shows great potential for the future of business, with the third-highest growth rate in the number of businesses and the sixth-highest share of jobs in high-tech industries.

Washington

Washington has the third-best state economy in the country, and it has an extremely high amount of industry R&D investment per capita, which allows it to be at the forefront of new tech. In fact, Washington has the second-highest share of jobs in high-tech industries and the second-highest share of STEM (Science, Technology, Engineering & Math) professionals.

In addition, Washington has the seventh-highest percentage of firms that are listed on the Technology Fast 500 list, and the third-highest number of invention patents per capita. This business growth and new technology will expand the economy even more in the future.

To top things off, new immigrants to the Evergreen State are the seventh-most educated in the country, and the state has the sixth-highest median household income after adjusting for the cost of living.