A new report from financial website 24/7 Wall St. named Louisiana the worst run state in the nation. Among the reasons cited were a high unemployment rate, poor credit rating and credit outlook, and high poverty rate.
As of the report, Louisiana has the 3rd highest unemployment rate at 6.1% and the 2nd highest poverty rate at 20.2%.
Also mentioned was the low amount of tax revenue collected from citizens, only “$2,071 per person in tax revenue a year compared to the $2,821 per capita amount states collect on average.”
The report also stated:
Louisiana struggles to save for unexpected budget shortfalls and fund its pension system. Louisiana’s rainy day fund is only worth about 3.0% of it annual budget and only 63.3% of the state’s pension system is funded, each among the smaller such shares among states.
Joblessness is also a major problem in Louisiana, and the state offers little assistance to its out-of-work residents. Some 6.1% of Louisiana’s labor force was unemployed in 2016, the third highest unemployment rate in the country after only Alaska and New Mexico. Additionally, the average unemployment insurance payout covers less than a quarter of the typical weekly wage. Nationwide, unemployment insurance payouts cover over a third of the average weekly wage.
Shreveport/Bossier City was also named as one of the 25 cities losing the most jobs by 24/7 Wall St. That report stated that the SBC lost 2,159 jobs between January and October of 2017. The weakest employment sector was in mining, logging, and construction, which lost 3.4% of their jobs.