Why Some States Soar and Others Stall: Jonathan Williams on The Hugh Hewitt Show

Appearing on The Hugh Hewitt Show, ALEC President and Chief Economist Jonathan Williams broke down key takeaways from the latest edition of Rich States, Poor States, highlighting what he called “real comeback stories” in Louisiana and West Virginia while pointing to room for improvement in others.

Louisiana topped the list for most improved, jumping 13 spots to #18 in the economic outlook rankings. Hewitt asked Williams what drove the dramatic rise.

“Well Hugh, it’s really a great success story of our ALEC legislators coming together with Governor Jeff Landry,” Williams said. “What they did was a 3% flat tax that Governor Landry and the legislature got across the finish line just before the end of the year last year. That, when paired with the school choice they passed months before, put together… all of a sudden, Louisiana is now primed for growth again.”

Louisiana’s sharp rise in the rankings is also a reminder of how regional competition drives reform. In the fast-growing Southeast—home to economic leaders like Florida, Tennessee, and Texas—there’s little room for complacency. Policymakers in Baton Rouge acted decisively, recognizing that standing still in a high-performance neighborhood is equivalent to falling behind.

While joking with Williams about an “SEC bias” in the state rankings, Hewitt pointed to another major riser: West Virginia, which climbed from 38th to 16th since the first edition of Rich States, Poor States.

“West Virginia has been a great turnaround story,” Williams responded. “It’s been nearly 20 years in the making. I think they have arguably one of the very best principled, free-market conservative governors in America, in Patrick Morrisey. We have our ALEC National Chairwoman, Patricia Rucker, in the State Senate, who led the school choice victory just a number of years ago.”

“It is, in a way, a similar story like Louisiana, where you have education freedom and tax cuts and tax reform going together,” he said. “West Virginia obviously becoming a right-to-work state in the last 10 years.”

The results of those policy reforms are now reflected in migration patterns. After more than a century of steady population loss, West Virginia saw a dramatic reversal. New census data suggests that West Virginia recently became a net in-migration state for the first time in state history—a clear sign that free-market policies are delivering tangible results.

“You can go back a century of data, and every single year, West Virginia lost population,” he explained. “After school choice, after tax cuts, after right-to-work—that all changed.  And if it can turn around a state like West Virginia with a 100-year losing track record, it can turn around any state.”

Hewitt then turned to Montana, which ranked 35th in the new report despite being led by Republican Governor Greg Gianforte.

Montana, Williams explained, finds itself in a tough regional environment. Surrounded by economic high-performers like the Dakotas, Idaho, and Wyoming, the state has struggled to keep pace—especially in tax policy and labor reform.

“This is a shocker for folks that don’t follow state policy, Hugh: Montana, being a red state, is still not a right-to-work state,” he said. “So, it’s a forced union state with tax rates that are far above what the region has around for its competitor states.”

From policy victories in the Deep South to challenges in the Mountain West, Williams made clear that Rich States, Poor States is more than just a scoreboard—it’s a call to action. States that embrace pro-growth policies like low taxes, education freedom, and labor reform are attracting families, jobs, and investment. Those that fail to adapt are watching opportunity slip away. The success stories of Louisiana and West Virginia prove that meaningful reform is possible—but only if lawmakers are willing to lead with principle, not politics.