Amazon, Microsoft, Costco, Expedia — the list of household names go on, all happily perched in the Evergreen State. Washington climbs to the top of our rankings with the help of the fastest-growing economy in the nation. The workforce is top-notch, and innovation thrives here, creating a magnet for business capital. Living and doing business here can be a bit pricey. The state has no income tax, but a so-called business and occupations (B&O) tax affects some businesses more than others and is the subject of frequent debate. Washington’s infrastructure needs work, and job cuts at the state’s largest employer — Boeing — have some wondering if this is as good as it gets. But for now, it has gotten pretty good.

Overall score: 1,621 out of 2,500 points
Best categories: Economy (No. 3), Technology & Innovation (No. 3)
Worst categories: Cost of Living (No. 37), Infrastructure (No. 32)
2016 rank: No. 6