2009 BEST CITIES: Austin #8

2009 BEST CITIES: No. 8 Austin, Texas
"DEFYING THE ODDS"
Population: 1,533,263
Income Growth: 7%
Cost of Living Index: 94
Median Household Income: $54,827
Percentage of Workforce in Creative Class: 37%

Leave it to Austin to ruin the curve. While most cities around the country posted job layoffs in the past year, Austin added 3,300 jobs, the biggest bump in the country. The increase covered a broad swath, from professional services, education and hospitality to health care and government. Gains in those sectors more than offset losses in manufacturing and information technology -- though the unemployment rate in the area has crept up.

By Jane Bennett Clark, Senior Associate EditorFrom Kiplinger's Personal Finance magazine, July 2009