We at the Rio Grande Foundation have long argued that the state has a negative climate for business. Now, thanks to a new, interactive report from the Kauffman Foundation, we have survey evidence from small businesses that explains exactly what policies and regulations cause the most problems for them. Check out the 50- state index here and New Mexico’s page here.
Overall, New Mexico’s major problems are in its work force, government licensing, the tax code, ease of starting a business, hiring costs, and regulations. Other than nearly all aspects of starting and operating a business, New Mexico is paradise!
Where does New Mexico perform well? Networking programs, environmental permits and forms, and health and safety regulations.
I’d say that the importance of the negatives (if they were weighted) would be far more significant than the positives (really, how important is easy networking if so many other aspects of the tax and regulatory environment are poor?).