Early voting ended last Friday, October 30, with Texans posting record-breaking participation for a midterm election. The 2026 early-voting participation rate of 40.53% inched past the 2018 record of 39.86%.
The strong turnout reflects heightened voter engagement ahead of several closely watched statewide and congressional contests, including the U.S. Senate race between Republican Ken Paxton and Democrat James Talarico and the gubernatorial contest between Republican Gov. Greg Abbott and Democratic challenger Gina Hinojosa. Major metropolitan counties, including Harris, Dallas and Tarrant, reported particularly strong participation compared with previous midterm elections.
In Texas, the central question this week is whether the next policy cycle will support investment, productivity and job creation while addressing the infrastructure and workforce pressures accompanying growth underway in the Lone Star State. The results of tomorrow’s Election Day will help shape the policy environment surrounding taxes, energy, trade, workforce development and infrastructure in one of the nation’s largest state economies, with a 2025 gross domestic product (GDP) of $2.9 trillion.
As more voters head to the polls tomorrow, on November 3, 2026, employers, investors and small-business owners will be watching for signals about the direction of economic policy and the cost of doing business in Texas.
Texas’s energy sector, for example, faces questions about the future of oil and gas, electricity reliability and investment in renewable power. For manufacturers and exporters, the primary concern relates to federal trade policy, tariffs and international demand. According to the Livingston International 2026 Trade Dynamics Report, 77% of trade-exposed businesses admit they are challenged to keep up with the pace of policy changes and cannot confidently validate their regulatory compliance. Meanwhile, technology companies, construction firms and service businesses are contending with labor needs, operating costs and competition for skilled workers.
For companies of all sizes, workforce issues are top of mind. For smaller companies, even modest increases in payroll, insurance or borrowing costs can influence hiring decisions.
Infrastructure is equally important. Population growth has increased pressure on Texas roads, water supplies, electricity networks and urban development. Businesses considering new facilities weigh not only tax incentives but also whether communities can provide dependable utilities, transportation and a sufficient labor pool.
Taxes and regulation are also in focus. The challenge for policymakers is balancing the priorities of predictable rules, competitive tax burdens and streamlined permitting with public investment, fair labor standards and environmental protections. All matter to the long-term economic health of the state.
Tomorrow’s election results will help determine the political framework in which decisions that shape the future of Texas’ economy are made.