In this article, we will take a look at the 15 best states to live in: 2023 rankings. If you want to see more places in this selection, go to the 5 Best States To Live In: 2023 Rankings.
The year 2022 represented a period of change for the United States as the country's economy continued its recovery from the pandemic. At the beginning of the year, imbalances in trade had a significant impact on Gross Domestic Product (GDP) data, but the economy picked up pace in the second half due to higher consumer spending. In an interview with CNN, Oren Klachkin, a US economist at Oxford Economics, commented that people were venturing out to shop, spend and travel, contributing to a solid expansion in the economy and growth in business investment. However, Klachkin noted that the outlook for 2023 is markedly different from the majority of last year. According to the economist, there will be stricter lending conditions and high inflation, and the impact of the Federal Reserve's rate hikes on the economy will be more significant in 2023. As a result, Klachkin does not expect the expansion to be as robust as it was in 2022.
Oxford Economics predicts that the GDP growth rate for the first quarter of the year will be 2.5%, and they anticipate the second half of 2023 to see a moderate recession. In contrast, the Atlanta Federal Reserve's GDPNow estimate is more optimistic, projecting a growth rate of 3.2% for the first quarter. Expectations for the full year of 2023 have been lowered due to recent events. After the collapse of Silicon Valley Bank, which caused disruption in the banking industry, Goldman Sachs also downgraded its 2023 forecast for economic growth by 0.3 percentage points, resulting in a new projection of 1.2%.
Negative Consumer Outlook on Finances
The United States is experiencing the highest inflation rate in 40 years, which has resulted in a negative shift in consumer perception of their personal finances. In a Gallup survey released in February, 50% of participants said their financial situations were worse now than they were a year ago. Since 2009, this represents the largest proportion of people reporting a decline in their financial status. Although certain data indicate that the wages of lower-wage workers are increasing, a significant number of individuals are still reporting a decline in their financial situations. In fact, 61% of individuals with lower incomes, defined as those earning $40,000 a year or less, reported that their financial situations had worsened over the past year, according to the Gallup survey. This proportion was higher than that of any other income bracket. However, even among higher earners, defined as those making at least $100,000 annually, 43% stated they are now feeling financial pressure.
The economic circumstances in the US, characterized by declining personal finances and high levels of inflation, are influencing individuals' decisions regarding which state to reside in. The financial strain felt by many Americans, especially those with lower wages, is driving them to consider relocating to states with a lower cost of living. In contrast, higher-income individuals are likely to be in a position to handle their financial pressures better and may still choose to live in more expensive states or cities for reasons such as better amenities, lifestyle, or employment opportunities. For those interested in finding affordable states to live in, 15 Cheapest States to Live In provides more information. Additionally, the presence of major corporations such as Meta Platforms, Inc. (NASDAQ:META), Alphabet Inc. (NASDAQ:GOOG), and Apple Inc. (NASDAQ:AAPL) may also attract individuals seeking job opportunities.
15 Best States To Live In: 2023 Rankings
carlos-alfonso-AlBgcDfDG_s-unsplash
Our Methodology
In order to compile a list of the 15 best states to live in, we examined multiple factors such as education, employment opportunities, cost of living, healthcare, culture, climate, and crime rates. We used a consensus opinion-based rankings approach and reviewed several reputable sources, including Forbes, US News, and World Population Review, to assign a score ranging from one to 10 for each factor. In our scoring system, a score of one represented the lowest and 10 represented the highest possible score. Hence, each state could receive a minimum score of seven and a maximum of 70. We have ranked the 15 best states in ascending order of their total score.
Best States To Live In: 2023 Rankings
15. Wyoming
Insider Monkey Score: 15
According to the Missouri Economic Research and Information Center (MERIC), Wyoming has the 16th lowest cost of living in the US, which makes it especially beneficial for those looking to save money or live on a fixed income. Additionally, the state boasts a strong public education system. This can be gauged by the fact that only 6.4% of the population above the age of 25 does not hold a high school diploma across the state. Wyoming is known for its wide-open spaces, natural beauty, and diverse outdoor recreational opportunities. The state is home to several national parks and forests, including Yellowstone and Grand Teton National Parks, which attract millions of visitors each year.
14. South Dakota
Insider Monkey Score: 16
South Dakota offers a low cost of living as it ranks 21st in the US in terms of affordability. The state also provides residents access to quality education through its several colleges and universities, such as the University of South Dakota, South Dakota State University, and Dakota Wesleyan University. Furthermore, South Dakota has a relatively low crime rate compared to many other states. According to the Federal Bureau of Investigation (FBI), South Dakota had the third lowest rate of murder and non-negligent manslaughter and the seventh lowest robbery rate in the US in 2019. The state is known for its natural beauty, with several national parks and monuments, including Mount Rushmore, Badlands National Park, and Wind Cave National Park.
13. Idaho
Insider Monkey Score: 17
Idaho boasts a prosperous job market. This can be gauged by the fact that the unemployment rate in the state is hovering around 2.9% compared to the national average of 3.6% as of February 2023. In terms of affordability, Idaho ranks 28th on the MERIC cost of living list, making it a reasonably priced place to live. The Gem State does not tax Social Security Retirement Benefits, and the state sales tax and property taxes are also low. Idaho is also one of the safest states in the US. According to the FBI, the state ranks 11th for the lowest rate of violent crimes and fourth for the lowest rate of murder and non-negligent manslaughter. Idaho is considered one of the most beautiful states in the US, with Yellowstone and Grand Teton National Parks as notable landmarks on the Idaho-Wyoming border.
12. Wisconsin
Insider Monkey Score: 17
Wisconsin has the 23rd lowest cost of living amongst all the states, according to MERIC. Additionally, the state has the 19th lowest rate of violent crimes in the US, as reported by the FBI. Wisconsin is also home to several well-respected universities, including the University of Wisconsin-Madison, which is consistently ranked among the top public universities in the country. The university currently occupies the 38th position overall and 10th position amongst public universities in the US. The state is also home to several world-renowned medical research institutions, including the Medical College of Wisconsin and the Marshfield Clinic Research Institute.
11. Iowa
Insider Monkey Score: 18
Iowa offers a relatively low cost of living, ranking seventh on the 2022 MERIC state-wise annual average cost of living ranking list. In addition to its affordability, Iowa has a low rate of violent crime, with the third lowest rate of murder and non-negligent manslaughter in the US, according to FBI data. Furthermore, the state is home to renowned universities like the University of Iowa, Iowa State University, and the University of Northern Iowa. Iowa is also known for its festivals, including the Iowa State Fair, which attracts visitors from around the globe.
10. New Jersey
Insider Monkey Score: 19
New Jersey has several strong points, making it one of the best states to live in. One of these is its highly regarded healthcare system. According to data from the Centers for Disease Control (CDC), the state has an infant mortality rate of 4 infants per 1,000, which is the fifth lowest in the country. Moreover, the state boasts a high number of physicians per 100,000 residents, with a figure of 294.9, according to the Association of American Medical Colleges State Physician Workforce Data Report. This places New Jersey in the 12th position on this metric amongst all the states in the US. Furthermore, The Garden State is also home to top-tier universities like Princeton University, Rutgers University, and the New Jersey Institute of Technology.
9. Nebraska
Insider Monkey Score: 24
Nebraska is famous for its wide-open spaces, beautiful landscapes, and friendly people. The state is also known for its festivals, including the Nebraska State Fair. The state has a continental climate, with hot summers and cold winters, and receives moderate precipitation throughout the year. According to the FBI, Nebraska has the 10th lowest rate of murder and non-negligent manslaughter amongst all the states in the US. The government claims that average housing, utility, transportation, and health costs in the state are lower than the national average. The Cornhusker State has nine notable airports, 300 inland miles of waterway, and one of the highest rail traffic in North America.
8. Virginia
Insider Monkey Score: 26
Virginia offers a mix of historic charm, natural beauty, and modern amenities. The state is known for its beaches, mountains, and parks, and it is home to several historic sites, including Colonial Williamsburg and Monticello. The Old Dominion state also has a thriving food and wine scene, particularly in the Charlottesville area. The state has the seventh lowest rate of violent crimes and the 16th lowest rate of property crimes amongst all the states in the US.
7. North Dakota
Insider Monkey Score: 33
North Dakota offers a unique blend of natural beauty, history, and modern amenities. The state is known for its vast prairies, beautiful lakes, and outdoor recreational opportunities. North Dakota is also home to several notable museums and cultural institutions, including the North Dakota Heritage Center and State Museum. In terms of economic indicators, North Dakota has an unemployment rate of 2.1%, significantly lower than the national average.
6. Utah
Insider Monkey Score: 33
Utah has a strong public education system, with a high school graduation rate of 88%, which is higher than the national average of around 84%. The Beehive State has several well-respected colleges and universities, including the University of Utah and Brigham Young University. Utah has a relatively low crime rate compared to many other states. As per the FBI data, Utah had the 12th lowest violent crime rate and the 10th lowest rate of aggravated assault in the US in 2019. Overall, Utah has much to offer in terms of natural beauty, education, healthcare, and recreational opportunities. Furthermore, popular corporations such as Meta Platforms, Inc. (NASDAQ:META), Alphabet Inc. (NASDAQ:GOOG), and Apple Inc. (NASDAQ:AAPL) also have operations in Utah.
