Author: Global Insight
This study shows that, on average, Massachusetts firms have costs 20-30% higher than similar companies in Texas, North Carolina, and New Hampshire in nine key industries. As a result, average after-tax profit levels in those states are about twice as high as in Massachusetts. Doing business in nearby Rhode Island is also cheaper in most of these industries, leading to profit levels that are about 25% greater there. In fact, the only states in this study over which the Bay State has a competitive advantage are New Jersey and New York, where costs are typically 5% and 15% higher, respectively.