Montana ranks first in the states in entrepreneurship and innovation and 10th in overall growth, a new U.S. Chamber of Commerce study shows.

The chamber's report, "Enterprising States: Creating Jobs, Economic Development and Prosperity in Challenging Times," concluded that state policies, along with governors, legislators and local officials, matter.

"Although the federal government has been driving stabilization policy during the recent recession, it is the states (and territories) that will lead a crucial new growth strategy in the next decade," the report said.

Gov. Brian Schweitzer was pleased by the news, but said it was no surprise.

"As a state, Montana is a leader," he said Monday. "By nature, Montanans are leaders. We are entrepreneurs. We make smart choices. We do more with less and we make it work. Like the report says, our successes are significant, and they're getting noticed."

He said Montana's high ratings are testament to the innovations of Montana businesses and the state's business-friendly tax and regulatory climate.

Montana led all the state in the "top entrepreneurship and innovation performers."

"The state places first in overall business start-up activity led by Bozeman-based Tech Ranch, an organization formed uniquely by private business leaders to coordinate entrepreneur support activities in the state," the report said. "Montana places in the top in state investment in R&D (research and development), built upon the state's Board of Research and Commercialization Technology, created by the Legislature in 1999 to provide a stable and predictable funding source to resource activities."

Montana ranked 10th in the category of "top overall growth performers" in the study.

"While Montana's energy and mining clusters added a combined 8,400 high-paying jobs to the state since 2002, Montana's greatest source of national dominance came from the collection of arts, entertainment, recreation and visitor industries, perhaps a sign that the rest of the nation is beginning to discover the Big Sky Country. Montana is also beginning to see the emergence of smaller clusters in chemicals, apparel and textiles and fabricated metal products."

Schweitzer said governors recognize that the states are "the laboratories of democracy."

"What works in Montana, before long you'll see it in New Mexico and Colorado," he said. "And what works in New Mexico or Colorado, you'll see in Montana before long."