Electoral competition is a concept that has played a central role in much of the state politics literature. One commonly used indicator of competition in the states is the Ranney index. We offer an alternative indicator of competition, one based on district-level outcomes of state legislative elections. After evaluating both indicators in terms of validity and reliability, the analysis suggests that the district-level indicator is both empirically and intuitively superior as a measure of electoral competition. The implications of this finding are discussed.