According to a recent report, Mississippi’s economy has experienced some recent advancements in economic development. However, the report also highlights that the state’s economic sector may not be conducive for small businesses.
LLC Geek reported in May that Mississippi ranked as the second worst state for small businesses. The report cited workforce availability and limited support in the state’s business environment as reasons for this ranking. Furthermore, the report pointed out that poor internet speed and infrastructure hinder businesses’ efficiency and create barriers for them in Mississippi.
According to the U.S. Bureau of Labor Statistics, Mississippi currently holds the unenviable position of having the lowest labor force participation rate in the country. The Mississippi Secretary of State’s website cites the state as having the highest regulatory burden compared to other Southern states. A report from the Justice Institute further reveals that Mississippi is losing approximately 13,000 jobs each year as a result of strict licensing regulations.
Mississippi has a considerable percentage of households, which is 23%, that do not have access to the internet. According to WalletHub, the state is among the most challenging places for individuals who work from home. Despite having the highest number of possible telecommuters in the United States, Mississippi has the lowest percentage of its population working remotely.
LLC Geek’s ranking takes into account a variety of factors, including Mississippi’s inflation rates, which were found to be above average. Additionally, the state’s GDP figures were relatively low, with Mississippi having the second-lowest GDP in the South in both 2022 and 2023, according to the U.S. Bureau of Economic Analysis (BEA). Furthermore, BEA data revealed that between 2022 and 2023, Mississippi’s GDP grew at the second slowest rate in the South.
