Monday, December 6, 2010

Investors Journal says McConnell's Kentucky is worst run state in the US

The online investment journal, 24/7 Wall St. has completed "one of the most comprehensive studies of state financial management ever performed by the mainstream media."

Their study ranked Kentucky worst out of the 50 states. 24/7 Wall St. claims their study is "based on evaluation principles used in the award-winning Best Run States In America ratings published by the Financial World Magazine during the 1990s."

Here is what they say:

50th. Kentucky
Debt per Capita: $8,899 (37th)
Unemployment Rate: 10% (38th)
Home Price Change (’06 – ’09): 6.1% (24th)
Median Household Income: $40,072 (41st)

Although Kentucky doesn’t place 50th in any one category, its overall poor scores secures its place as the worst-run state on our list. It is 43rd in GDP per capita, 47th in median household income, 47th in citizens with high school diplomas, and, at 18.6%, is 48th for percentage of the population below the poverty line. Kentucky also has an extremely weak S&P rating of AA-, supporting our assessment that it is the worst-run state in the country.

Read more: The Best and Worst Run States In America: A Survey of All Fifty - 24/7 Wall St.

Basic business assumptions behind Kentucky's poor evaluation

The study assumes: "Well-run states have a great deal in common with well-run corporations. Books are kept balanced. Investment is prudent. Debt is sustainable. Innovation is prized. Workers are well-chosen and well-trained. Executives are picked based on merit and not “politics.”

While as a Senator Mitch McConnell is not involved with the management of the state he represents he does align himself with the leadership and largely conservative political values of Kentucky which have embraced low taxes,low wages,high debt, and minimal social spending which continue to fail Kentucky the way they fail many of the red states like Jim Demint's South Carolina for example.

For more information, please read the full article at:

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