Forbes Magazine released its fifth annual ranking of the best states for business and careers--and granted Utah the No. 1 spot.

Utah was recognized for its fast growing economy, which has expanded 3.5 percent annually over the past five years. Additionally, Utah's employment has increased 1.5 percent annually--while total employment in the country has shrunk.
And Utah's household incomes have increased twice as fast as the national average with a 5 percent increase annually.

Governor Gary Herbert told Forbes that Utah strives to let the free market do what it does best.

'We have a fiscally conservative government where we are trying to keep government off your backs and out of your wallet,' Herbert said, as stated in the Forbes report.

In a country where 54 percent of adults think the economy and jobs are the nation's most important problems today (according to a CBS News poll), Utah's ranking says a lot about the state's economic focus.

Utah was also praised for the following factors:

• Energy costs 35% below national average
• Educated labor force (90% of residents have a high school diploma; 29% have a college degree)
• Low poverty rates
• Ample recreational opportunities
• A fiscally fit state government