When it comes to determining the best state in America, opinions can vary widely. But in 2024, U.S. News & World Report (Rankings: Overall Best States | US News Best States) took a data-driven approach to settle the question—and Utah emerged as the clear winner (Utah Rankings | US News Best States).
By analyzing key metrics like healthcare, education, economic strength, infrastructure, public safety, and environmental quality, the report highlighted Utah’s exceptional performance across the board. The state’s fiscal stability and abundant opportunities for its residents further cemented its top ranking. Here’s an in-depth look at why Utah stands out as the best state in the nation:
A Rich History and Remarkable Landscape: Why Utah Stands Out
Utah’s legacy as a land of resilience and innovation dates back to its earliest settlers. Dubbed “Deseret” by members of The Church of Jesus Christ of Latter-day Saints, this remote western territory became a refuge for those fleeing religious persecution in the mid-1800s.
During the Mexican-American War, hundreds of these settlers formed the Mormon Battalion, which marched from Kansas to San Diego between 1846 and 1847, forging critical wagon routes across the Southwest. Following the war’s conclusion, they returned in 1848 to the area they envisioned as the state of Deseret—a name symbolizing community and industry, inspired by the honeybee in the Book of Mormon.
By 1850, with over 11,000 residents, church leaders began organizing settlements, ultimately founding 500 communities across Utah and neighboring states by 1900. The region gained further prominence on May 10, 1869, when the first transcontinental railroad connected at Promontory Summit in the Utah Territory, linking the Union and Central Pacific Railroads.
Gold and silver discoveries in the area brought new opportunities and attention, and Congress eventually named the territory Utah after the Ute Native Americans. Over time, parts of the territory contributed to forming Nevada, Colorado, and Wyoming, and in 1896, Utah officially became the 45th state.
Utah’s unique geography continues to capture the imagination. Its striking mountains, high plateaus, and expansive deserts are home to the Great Salt Lake—the largest saltwater lake in the Western Hemisphere—near the state capital of Salt Lake City. The state’s “Four Corners” region, where Utah meets Colorado, New Mexico, and Arizona, is the only such junction in the United States.
Renowned for its world-class skiing, the mountains near Salt Lake City receive abundant snowfall, attracting visitors from around the globe. Additionally, Utah hosts the Sundance Film Festival, one of the world’s premier independent film showcases, each January in Park City. These qualities, combined with its rich history and natural beauty, are just a few reasons why Utah continues to thrive as a top destination and the best state in the U.S.
In 2024, Utah has solidified its position as one of the top-performing economies in the United States. This achievement reflects the state's strategic investments in technology, infrastructure, and a diverse range of industries, all of which have helped fuel robust growth.
According to CNBC (These 10 U.S. states have America’s best economies (cnbc.com)), the strength of a state’s economy plays a crucial role in attracting businesses, not just during election years but consistently over time. Companies are drawn to states with robust growth, financial stability, and a strong housing market, as well as diverse economies that offer corporate partnerships and international investment opportunities. This is why CNBC’s annual ranking of America’s Top States for Business assigns 14% of a state’s total score to its economic performance, which includes factors like job growth, fiscal health, housing, corporate presence, entrepreneurial activity, and foreign direct investment.
Eight of Utah’s ten major private sector industries experienced job growth last year, contributing to the state’s economic vitality, according to the Department of Workforce Services. However, Mark Knold, the department’s chief economist, cautioned that the state's historically low unemployment may limit further expansion, as a shortage of labor could hinder the economy from reaching its full potential. Despite this challenge, Utah's 2024 economy score stands at 245 out of 350 points, with a B+ rating. In 2023, Utah's GDP grew by 2.5% to $219.2 billion, with strong credit ratings and stable foreign direct investment.
Tech-Driven Economic Growth
One of the key drivers of Utah’s economic success is its thriving technology sector. Known as the “Silicon Slopes,” the area along the Wasatch Front has attracted tech giants and startups alike. Companies such as Adobe, Qualtrics, and Pluralsight have established a strong presence in the region, creating jobs, fostering innovation, and contributing to a broader economic boom. The tech industry has been a magnet for talent, drawing professionals from across the country to Utah’s growing urban centers, including Salt Lake City, Provo, and Lehi.
Image: Ranking the Best State Economies in 2024 - Voronoi (voronoiapp.com)
Population Growth and Labor Force Expansion
Utah’s population growth has also contributed to its economic strength. The state has experienced one of the fastest-growing populations in the nation, which has expanded its labor force and provided a youthful demographic profile. A larger workforce has supported business expansion across a variety of sectors, including real estate, construction, healthcare, and finance.
Utah's low unemployment rate, which has consistently remained below the national average, is another indicator of its economic health. The state’s focus on workforce development programs and education initiatives, especially in STEM (Science, Technology, Engineering, and Math) fields, has helped equip its residents with the skills necessary to thrive in the competitive job market.
Business-Friendly Environment
Utah’s business-friendly environment continues to be a significant factor behind its economic ranking. The state’s low taxes, minimal regulation, and streamlined processes for starting and running businesses have made it an attractive destination for entrepreneurs and companies looking to relocate or expand. In fact, Utah has been recognized multiple times as one of the best states for business, providing a stable and supportive environment that encourages innovation and growth.
Diversified Economy
While the tech sector has been a standout, Utah’s economy benefits from a high level of diversification. Industries such as aerospace, defense, and manufacturing have also played a critical role in the state's economic success. Furthermore, Utah is a leader in natural resources, with energy production and mining remaining central to its economic base. The state has consistently invested in sustainable energy, including solar and wind power, helping to create jobs in the growing green energy sector.
Infrastructure and Quality of Life
Another factor that contributes to Utah’s ranking is its infrastructure development. Significant investments in transportation, including the expansion of roads and public transit systems, have improved connectivity and supported the state’s growing population and business activity. Additionally, Utah is known for its high quality of life, with access to world-class outdoor recreation, a low crime rate, and a family-friendly culture. These factors have made Utah a desirable place to live and work, contributing to its ability to attract both businesses and workers.
Looking Ahead
Utah’s economic outlook for 2025 remains strong, with continued growth expected in key industries such as technology, healthcare, and green energy. While challenges such as housing affordability and water resource management will need to be addressed to sustain long-term growth, the state's leadership has shown a commitment to proactive planning and investment.
Utah’s combination of a diverse economy, strong workforce, and business-friendly policies ensures that it will continue to be a leading player in the national economic landscape for years to come. Its ranking as the best state in the U.S. is a testament to its well-rounded, dynamic approach to growth and development.
Sumsion Business Law
Sumsion Business Law, based in Provo, Utah, brings over 40 years of expertise in aligning international and U.S. business interests through skilled legal counsel and commercial diplomacy. With a diverse team of more than 40 professionals, including Brazilian attorney, the firm prioritizes delivering quality results on time. Our legal team ensures that financial transactions comply with all regulations governing capital flow, providing solutions for securing foreign investments in accordance with American and Utah laws.
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Author: Fabio Nascimento has 20 years of experience as a business lawyer in Brazil, and he has been working with international transactions in Utah, on projects in more than 70 countries. He is pursuing a PhD in law at Universidad Complutense de Madrid, and has a Master’s degree in comparative law from Brigham Young University. BAR admissions (Brazil): Sao Paulo, Parana and Santa Catarina. Fabio is working as a foreign advisor at Sumsion Business Law. fabio@businesslawutah.com
Source:
Rankings: Overall Best States | US News Best States
Utah Rankings | US News Best States
These 10 U.S. states have America’s best economies (cnbc.com)
Ranking the Best State Economies in 2024 - Voronoi (voronoiapp.com)
