Georgia’s Economic Outlook Ranked First in the Nation
Georgia’s economic outlook ranked first in the nation according to a recent report by economist and advisor to President Ronald Reagan, Arthur Laffer. Georgia’s ranking has risen to number one over the past four years from 24th in 2002.
Laffer is known for developing the “Laffer Curve,” which illustrates his theory that cutting taxes in certain situations can lead to an increase in economic activity and government revenue. Laffer’s annual study, available at www.gov.state.ga.us, is a seven-category analysis that compares state tax and fiscal policies.
Georgia’s success is credited in large part to its commitment to reducing the tax burden on its citizens and businesses over the past four years. Laffer also praised Georgia’s 2005 decision to determine corporate income taxes based on sales alone, a move that he predicts might save businesses $100 million annually.
“I am proud of the progress we have made the over past four years by reducing taxes and strengthening our economy,” said Gov. Sonny Perdue. “The report reaffirms what Georgians already know – that Georgia is a great place to live and do business.”