A new report by the American Legislative Exchange Council (ALEC) recaps what states should do to alleviate the fiscal pain of the current recession, and also what they should avoid.

Unfortunately, Pennsylvania ranks near the bottom among the 50 states, finishing 46th in Economic Performance Rank and 43rd in Economic
Outlook Rank.

Be sure to thank Gov. Ed Rendell for destroying the state's economy over the past eight years.

The third edition of Rich States, Poor States: ALEC-Laffer State Economic Competitiveness Index shows how many states (Pennsylvania included) responded to the economic crisis with higher taxes, new spending, and more debt.

"Many state legislators across America are taking the wrong actions to improve their economies," said Indiana state Sen. Jim Buck, chairman of ALEC's Tax and Fiscal Policy Task Force. "As elected officials, we must be exceedingly vigilant to avoid tax increases, which would only prolong the current downturn for states."

Arthur B. Laffer, noted economist and co-author of the study, summarized the report's findings: "Tax and economic policies are essential to the competitiveness of our states. Most actions being taken in state capitals today -- and practically all actions from Washington, D.C. today -- are flat-out wrong." Rich States, Poor States presents state economic outlook rankings based on public policies that have a proven impact on growth, revealing which states have the best chance of experiencing economic recovery, and which need to re-examine their policies before they can expect to see improvement."

The 139-page report outlines steps states can take to bring about economic recovery. Somebody should make sure Rendell and every member of the Legislature read the report.

New Study Outlines the Road to Economic Recovery for States: Utah Still Leads, While New York Suffers