Chief Executive magazine released the results of their 2009 "Best and Worst States" survey. It's based on a survey of 543 CEOs, who were asked to evaluate their states based on "proximity to resources, regulation, tax policies, education, quality of living, and infrastructure." They also graded their states based on three criteria: Taxation & Regulation, Workforce Quality, and Living Environment.
Read the results to find your state. Here are the top and bottom five:
Five Best States
2. North Carolina
Five Worst States
2. New York
4. New Jersey
Also, this list doesn't seem to correllate very strongly with the recent ranking of the happiest states.