Wisconsin Trails Minnesota, But Tops Iowa, Dakotas In Economy Ranking

WISCONSIN — Wisconsin ranked behind Minnesota but ahead of Iowa and both Dakotas in a new report on the best state economies in the country.

WalletHub released its 2026 ranking Monday, comparing all 50 states and Washington, D.C., across 28 indicators of economic performance and strength.

Wisconsin ranked No. 31 overall, with a total score of 43.51.

The state ranked:

No. 31 overall

No. 41 for economic activity

No. 26 for economic health

No. 18 for innovation potential

Wisconsin's strongest showing came in the innovation potential category, where it ranked No. 18 nationally.

WalletHub's innovation potential category included high-tech jobs, STEM employment, patents, research and development investment and entrepreneurial activity.

Wisconsin ranked ahead of Minnesota in that category. Minnesota ranked No. 20 for innovation potential.

However, Minnesota ranked higher overall, coming in at No. 21 nationally. Minnesota also ranked No. 12 for economic health, while Wisconsin ranked No. 26 in that category.

Wisconsin's weakest category was economic activity, where it ranked No. 41. That category included GDP growth, fast-growing firms, public debt as a share of GDP, exports per capita and startup activity.

Still, Wisconsin ranked ahead of several nearby states.

Iowa ranked No. 39 overall, North Dakota ranked No. 40 and South Dakota ranked No. 41. Illinois ranked No. 37.

Massachusetts ranked No. 1 overall, followed by Washington, Utah, California and Delaware.

West Virginia ranked last, followed by Kentucky, Louisiana, Maine and Rhode Island.

WalletHub said the best state economies tend to combine strong job markets, business growth and investment in technology.

"A strong state economy doesn’t guarantee success for the state’s residents, but it certainly makes financial success more attainable," WalletHub analyst Chip Lupo said in the report.

Lupo said factors such as low unemployment and high average income can help residents buy property, pay down debt and save for the future. He said the best state economies also encourage growth by being friendly to new businesses and investing in new technology.

WalletHub said its ranking was based on data collected as of May 4 from sources including the U.S. Census Bureau, Bureau of Labor Statistics, Bureau of Economic Analysis, Deloitte, the National Science Foundation and the Kauffman Foundation.

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