New Report Shows RI’s Big Gov’t Gamble has Failed Residents

As a solidly Blue state that has not elected a Republican to statewide or federal office in 20 years, in addition to twenty previously documented failures, a new July report clearly demonstrates how our Ocean State stands as a textbook example of how progressive tax-and-spend policy priorities have led to stagnation and a crushing blow to prosperity.

According to the July 2026 report “Does Political Affiliation Impact Economic Growth?“ by economists Richard Vedder and Nicholas Jadwisienczak for the Committee to Unleash Prosperity, this choice has come at a steep cost. The authors classify Rhode Island among the 16 solidly Democratic “Blue” states and find that, even after controlling for factors like manufacturing concentration, unionization, migration, temperature, and population density, solidly Red states enjoyed roughly 26–37% higher personal income growth than solidly Blue ones over the 2000–2025 period.

In practice, this shows up clearly in Rhode Island:

• The state lags the national average in real GDP growth, per-capita personal income growth, and productivity. Its GDP per capita ranking has slipped, and income growth trails the U.S. benchmark. ripec.org
• High taxes (including among the nation’s highest property taxes), regulatory burdens, and business-unfriendly policies have contributed to slow job creation and out-migration of residents and capital—classic symptoms of the “vote with your feet” dynamic the report describes, where people and businesses flee high-tax, high-regulation environments for freer Red states like Florida and Texas.
• Expansive government spending and union influence crowd out private-sector dynamism, delivering more government employees and mandates while delivering less broad-based prosperity for working families.

Where other Americans have benefitted from a conservative approach – small-government, lower taxes and regulations, and more freedom – Rhode Island’s experience, conversely proves the point: big-government liberalism is a loser for state residents.

Progressive policies promise fairness and security through bigger bureaucracies and higher taxes, but instead delivers regressive results; slower growth, fewer opportunities, declining relative living standards, and a brain drain that leaves behind those least able to escape.

Red states, with lower taxes, lighter regulation, and more faith in free enterprise, have consistently outperformed – delivering higher income gains that benefit workers, families, and communities alike.

The Ocean State doesn’t have to stay on this losing path. By shifting toward pro-growth, limited-government policies—cutting taxes, streamlining regulations, and unleashing private enterprise—Rhode Island could reverse its decline and give its residents the prosperity they deserve.

The data from across the 50 states is clear: smaller government and economic freedom aren’t just conservative ideals—they’re the proven recipe for a brighter and more prosperous future.