1. I would like to live in a state that is not too racist. I am multi-racial and so would prefer not to be around racist people, so no KKK states.
The problem with racism, as was pointed out in several other posts, exists everywhere. It just depends who hates who. From what I have seen, in the south it is black/white racism (going both ways though), southern florida it is Cuban/black/white (going all ways), in areas of california/colorado/new Mexico/arizona/Texas is is more Mexican/white, in the northwest (Seattle, etc) it is Asian/white. This isn't to say everyone in these areas is racist, but you don't see many mexicans/blacks in Seattle so there is less racism toward those groups because they are smaller. A lot of it can also depend on where in the city you move to. For example, in colorado there is a ton of difference between living in the "city" and the "suburbs." There is a ton of difference between Denver and Boulder (although they are extremely close to each other). I think this would be similar in other areas too.
2. I love culture, and theatre and cinema but prefer a smaller city where I can get to know more people.
Regardless of "small" or "large" city you can get to know people. If you mean really smaller (such as a "town" and not a city), you aren't going to find that many schools in such areas. Do you want small like Laramie, WY (where Wyoming's law school is) or do you want small like San Francisco compared to NYC? Also, depending on how small you want, you might have to sacrifice culture for small city feel. Laramie is definitely a small city where you can get to know a lot of people, but doesn't have many malls. San Francisco has tons of malls, museums, etc but definitely wouldn't be considered small in my eyes in that you will never meet even a majority of people who live there.
3. I am not a big party person so I would prefer somewhere where people have small parties but hang out more than pose!!
I think this all depends on who you meet and chose for friends. Small parties are usually with a group of friends IMO. Plus, my understanding is in law school people are more focused and not as apt to party unless they are straight out of college anyway. You can find this anywhere you go - both sides of it.
4. I am interested in making good money after I graduate, so a state which will need lawyers or where they have alot of law firms.
What is good money? Is this the most important goal? If so, someplace like NYC or LA would be your best bets, but then it throughs the whole idea of small town out the window.
5. A state that has fairly young single people that I can meet!!
Do you mean meet through school or just out and about? Again, this is pretty much the case everywhere. Unless you go to a small town (I mean less than 1000 people), there are going to be single people who are young. It depends on what you do as to whether or not you will meet them (i.e. going to bars, going to student events, volunteering).
However, it would be helpful to narrow it down a little further. Have you visited anyplace you like? Do you like Florida? What areas do you like? For example, I loved New Orleans - to visit. I wouldn't want to live there in that I found it extremely small (I live in Denver where there are 20 malls around, NO had one). I liked San Francisco, however the people there seemed a little odd to me (no offense to anyone) because it was so liberal (and I consider myself fairly liberal). I love Seattle and would consider moving there because it was a great city. I don't like Florida in thatit always feel oppressive to me (both racism and religion are big there from what I've seen which I'm not into either) so I wouldn't want to move to the areas of FL I've been to. Although places like Wymoning, Montana, Kansas, Nebraska and Idaho are pretty they are way to small for me. I don't want to move somewhere where I have to drive 3 hours to hit a mall or 30 minutes for a McDonalds. Both New Mexico and Arizona were beautiful, they are just too hot for me. So that would be how I'd start, see where you have liked and go from there. If you haven't been many places, get so frequent flyer miles and travel some