One of Wisconsin’s top business associations raised alarms about the Badger State’s competitiveness, saying the state’s regulatory regime and economic policies have put up obstacles for people moving to Wisconsin and wanting to start new businesses. 

The report, released by the WMC Foundation, an affiliate of Wisconsin Manufacturers & Commerce, decried the state’s tax code and poorly equipped education system.

Of the issues that indicate Wisconsin’s declining competitiveness, WMC cited “a shrinking population, a labor market that’s failing to grow, burdensome regulations, lagging educational performance, soaring health care costs, and a tax climate that weighs heavily on families and employers alike” as the leading reasons.

Wisconsin has consistently posted sluggish population growth numbers, with the state ranking 36th between 2023 and 2024, growing a measly 0.85, according to US Census Bureau data. (RELATED: Steil Unveils “MEGA Act,” a Sweeping Federal Push for Voter ID, Paper Ballots, and Tighter Election Rules)

“When families and businesses look for a home, they make calculated decisions and weigh the pros and cons,” said WMC President & CEO Kurt R. Bauer. “Some states roll out the red carpet for businesses. Other states roll out the red tape. Wisconsin has to decide which state it wants to be.”

As is the case for most of the country, the economy is at the top of Wisconsin voters’ minds heading into the 2026 election. An Institute for Reforming Government listening tour found that the economy was the top issue for 39% of voters and 49% of Independents in the state.

The WMC report stated that Wisconsin would need “innovative solutions” to get its economy back on track. (RELATED: Milwaukee Begins Towing Reckless Drivers Under Expanded State Law)

“It’s our responsibility not only to recognize the obstacles ahead but to champion innovative solutions to lift our state out of economic uncertainty and guide it toward a more prosperous future,” Bauer said.