5. Tennessee
The Volunteer State steps up with great infrastructure and economy, but poor health and a lack of inclusiveness hurt.
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Tennessee Score and Ranking
| Category | 2021 Score | 2021 Rank | 2019 Rank | 2021 Grade |
|---|---|---|---|---|
| Cost of Doing Business | 265 | 8 | 17 | A- |
| Infrastructure | 245 | 4 | 5 | A- |
| Life, Health & Inclusion | 113 | 46 | -- | F |
| Workforce | 180 | 25 | 32 | C |
| Economy | 194 | 2 | 5 | A+ |
| Business Friendliness | 117 | 20 | 7 | B- |
| Access to Capital | 124 | 14 | 23 | B |
| Technology & Innovation | 82 | 32 | 23 | C- |
| Education | 84 | 23 | 28 | C+ |
| Cost of Living | 65 | 8 | 6 | A- |
| Overall | 1469 | 5 | 13 | -- |
Economic Profile
Governor: Bill Lee, Republican
Population: 6,886,834
GDP growth (Q1 2021): 7.4%
Unemployment rate (May 2021): 5%
Top corporate tax rate: 6.5%
Top individual income tax rate: None
Gasoline tax: 27.40 cents/gallon
Bond rating (Moody's/S&P): Aaa, stable/AAA, stable
Major private employers: Covenant Health, FedEx
Economic profile sources: U.S. Census Bureau, U.S. Bureau of Economic Analysis, U.S. Bureau of Labor Statistics, Federation of Tax Administrators, American Petroleum Institute (excluding 18.40 cent/gallon federal tax), Moody's Investor Service, S&P Global Market Intelligence