Another magazine business climate ranking, using a different methodology than the Chief Executive survey I linked to earlier today. Site Selection ranks the states based on a formula that includes new and expanded facilities, capital investment, jobs created, tax policy (using the Tax Foundation tax climate report), the Beacon Hill Institute’s business climate index, and more that are described at the link.

The top 10:

Texas also topped the Chief Executive survey results. North Carolina, Tennessee, Indiana, South Carolina and Georgia also appeared in the Chief Executive list. That’s six states appearing in both.

The Beacon Hill Institute and Tax Foundation were among the groups issuing business climate indexes criticized by Good Jobs First. Tax Analysts editor Cara Griffith has a clear takedown of the GJF report.

…Good Jobs First believes, the conclusions of any given group often depend on the advocacy agenda of that group.

It’s hard to argue with that statement. Data, like any other set of facts, can be spun. But I wonder, then, if this is not the pot calling the kettle black. Good Jobs First is a left-leaning group that is likely pursuing liberal policies. In fact, the first edition of the Grading Places report was put out through the Employment Policy Institute, a far left-leaning group that has ties with a variety of labor groups. But it’s no different than saying that ALEC is a right-leaning group that is pursuing conservative policies.

Good Jobs First is just hiding the ball a little bit by trying to get rid of reports on business climate.

She concludes and I agree,

Business climate reports are not the be all and end all for developing tax policy. But they do provide valuable information and they get noticed.

They do.

UPDATE The Tax Foundation offers a sound refutation of the Good Jobs First report. The crux:

[GJF author Peter] Fisher’s main conclusion is that we should throw out all business climate rankings because they “contradict” each other. This argument is a non-sequitur. States score differently in different indices because the indices measure different things. Our Index is a measure of how well each state conforms to the principles of sound tax policy: simplicity, neutrality, transparency, and stability.