In 2008, Milken Institute ranked South Carolina as the state with the 6th lowest cost of doing business with an index of 82.9. This Cost-of-Doing-Business Index, released annually by the Institute, indicates each state’s comparative advantages or disadvantages for attracting and retaining businesses. Those states with a low cost of doing business have, on average, greater job growth than those with higher costs. The Index also measures wage costs, taxes, electricity costs, and real estate costs for industrial and office space.
Each state is measured on five individual categories, and those weighted scores combine to yield the overall index. An index score of 100 means that a state is equal to the U.S. average in that particular category. If a state’s business cost index is 120, it means that the state’s cost of doing business exceeds the national average by 20%. Similarly, if a state’s business cost index is 80, that state’s cost of doing business is 20% less than the national average.
For more information on these rankings and the Milken Institute, visit www.milkeninstitute.org.
For more information on the cost of doing business in South Carolina, click here.