More than 500 U.S. CEOs polled by Greenwich, Conn.-based Chief Executive magazine based their opinions on numerous factors, including regulations, tax policies, work force quality, education resources, quality of living and infrastructure.
While the Golden State came out on the bottom, Texas topped the magazine's "Best & Worst States" list for the seventh consecutive time.
Texas was followed, in order, by North Carolina, Florida, Tennessee and Georgia.
Ranking 46th through 49th in the rankings were Michigan, New Jersey, Illinois and New York, respectively.
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