Last week, the Bureau of Labor Statistics (BLS) released its preliminary job numbers for May 2011 and the Lone Star State continued to show that it is the nation’s economic engine.
According to the Bureau of Labor Statistics, Texas had the largest year-over-year increase in the nation; the fifth largest month-to-month increase and the second largest year-over-year percentage increase in non-farm employment. Additionally, Texas’ unemployment rate continued to trend well-below the national average at 8%, marking the 52nd consecutive month that it has been at or below the national average.
These numbers, impressive as they are, made even more striking in light of how poorly other large, comparable states performed.
According to the new jobs report, other large, populous states-like California and New York -continued their struggle to create jobs. The preliminary data shows that California had the largest decrease in month-over-month employment growth, while New York had the second largest decrease.
Mounting evidence is making one thing clear: Texas’ relatively simple formula of low-taxes + predictable regulatory environment + aggressive tort reform measures is transforming the state into the nation’s premiere place for businesses, jobs, and people. If the state can continue to hold to this approach, I suspect that we can expect a good many more jobs reports like this last one in the future.
-Samantha SolizResearch Fellow, Center for Fiscal Policy