Report: Oregon requires most occupational licensing, Missouri the least

“Oregon licenses 180 occupations, but Missouri licenses only 123,” Timmons said, adding that “twenty-eight occupations are licensed in five states or less.”

“Overall, occupational licensing hurts consumers,” Timmons said.

“Occupational licensing increases service prices by as much as 16%,” Timmons said.

“Occupational licensing also reduces consumer choice, innovation, and economic growth,” Timmons said. “There is almost no evidence that licensing improves the quality of services that consumers receive.”

The Archbridge Institute’s report – entitled the 2026 State Occupational Licensing Index – states that occupational licensing affects over 20 percent of United States workers.

Archbridge said in a news release that the five “worst states for occupational licensing” are Oregon, Texas, Tennessee, Arkansas, and New Jersey in that order, as they “erect the most barriers to work.”

The five “best states” that “erect the fewest barriers to work” are Missouri, Kansas, New York, Indiana and Colorado, also in that order. 

For its research, the Archbridge Institute ranked nearly 250 occupations.

“Some of the most licensed professions are architects, attorneys, barbers, chemical dependency counselors, nurse aides, and real estate brokers,” the news release said. “Some of the least licensed professions are drama therapists, elevator apprentices, farm labor contractors, interior designers, lactation consultants, and ocularists.” 

Archbridge began publishing its annual State Occupational Licensing Index (SOLI) in 2023.

Some things have not changed since the 2025 SOLI, such as the fact that 28 states have “adopted some form of universal licensing recognition.”

Some things have changed, for better and worse as Ed Timmons told The Center Square. 

“Ohio showed the greatest improvement in our index, eliminating licensing for two professions,” Timmons said. “Mississippi moved in the opposite direction, adding licensing requirements for two professions.” 

Additionally, five states in all added one new license and four states in all eliminated one since 2025.

Interestingly, California ranks nearly squarely in the middle of the 2026 SOLI, tied with North Dakota at 23. The state of Florida ranks nearer to worse states like Oregon at 8.

Timmons, along with PhD Candidate at West Virginia University Benjamin Seevers and Troy University assistant professor of economics and Labor Policy Fellow at Archbridge Noah Trudeau co-authored the report.