Elliott Bay and the downtown Seattle skyline. (GeekWire Photo / Kurt Schlosser)

Washington state is No. 1 again in U.S. News & World Report’s annual Best States ranking, hanging on to the title it achieved last year. It’s the first state to top the list two years in a row.

The ranking of all 50 states considers data points across eight categories, including economy, health care, infrastructure, education, natural environment and more.

U.S. News called out Washington’s thriving economy — the fastest growing in the nation — which is buoyed by the strength of the tech industry centered in the Seattle region. Companies such as Amazon and Microsoft and Silicon Valley transplants Google and Facebook employ many thousands in the area.

And the state has emerged as a national leader in business incubation, U.S. News reported. Ranked fifth for venture capital by the magazine, Washington saw nearly 200 businesses receive venture capital funding in 2020. The report credits tech entrepreneurs who made their fortunes during the state’s rise as a tech leader and who are now looking to grow a new generation of Washington-born businesses.

Startup funding totals from 2020 as a whole for the region came in at $4.4 billion, up 15% year-over-year.

The Pacific Northwest tech ecosystem continues to blossom, thanks to both fast-growing startups — including an increasing number of unicorns — as well as tech giants such as Amazon and Microsoft that have boomed during the pandemic as millions rely on their products and services.

Washington Gov. Jay Inslee’s office cheered the honor, with the governor saying, “It takes all 7.6 million of us to make this state the dynamic place it truly is.” Inslee added that as the first state in the nation hit by COVID-19, “we are on our way to a robust recovery because of our unique attributes.”

Washington’s lowest score came in the “opportunity” category, at 25th. The category considers such metrics as educational opportunity, equal pay for equal work and the ability to afford a home.

Here are the 10 best states according to U.S. News …

1. Washington
2. Minnesota
3. Utah
4. New Hampshire
5. Idaho
6. Nebraska
7. Virginia
8. Wisconsin
9. Massachusetts
10. Florida

… and the 10 lowest-ranked states:

50. Louisiana
49. Mississippi
48. New Mexico
47. West Virginia
46. Alabama
45. Alaska
44. Arkansas
43. Oklahoma
42. South Carolina
41. Kentucky

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