Colorado ranks 10th in a new measure of prosperity that takes into account business, education, governance and other factors.

The American Dream Prosperity Index was released by the Milken Center for Advancing the American Dream in partnership with Legatum Institute.

According to the index, the United States continues to experience an increase in prosperity despite the challenges of the COVID-19 pandemic, rising inflation and a slowing economy. Prosperity isn’t distributed equally, however, eluding some rural areas and minority populations.

“While our nation faces many challenges, including record inflation, increased gun violence and a deteriorating mental health landscape, we are encouraged by the resiliency of communities across our country as they work to create prosperous lives for their residents,” said Kerry Healey, president of the Milken Center for Advancing the American Dream. “The American Dream Prosperity Index was founded on the principle that better data leads to better decisions and outcomes. It is our goal to make this report one of the most important tools for local, state and federal lawmakers and civic leaders.”

Colorado ranked 10th overall among the 50 states and Washington, D.C. Colorado ranked first in business environment, seventh in education, eighth in governance, ninth in natural environment and 11th in social capital. Since 2012, Colorado has seen the most improvement in social capital. Colorado fared less well in ranking 28th for personal freedom, 34th for infrastructure and 41st for safety and security.

Massachusetts ranked first in the index, followed by Connecticut, Minnesota, New Hampshire and Utah. Vermont, New Jersey, Wisconsin and Washington also made the top 10.

Mississippi ranked last overall, followed by Arkansas, Louisiana, West Virginia and New Mexico.

With the exception of North Dakota, all states have increased their prosperity, according to the index. But prosperity remains unequally shared across and within states.

For most people, 2022 was a year of progress as the United States continued to recover from the COVID-19 pandemic However, this increase in prosperity was tempered by rising gun violence in nearly every state. Also detrimental to the nation’s prosperity is the deteriorating mental health of America, marked by a rise in suicides and opioid-related deaths.