How to Dynamically Combine Multiple Taxonomies?

Hello,

I’m experimenting building a listings site in WP 3.1 and I’m looking for a way to implement the following functionality:

I’ve got one Taxonomy with US States (NY, CA, Chicago etc – 50 of them) and each state has as children a fixed Taxonomy (let’s call it “Businesses”), which list for example “Bakeries, Shopping Malls, Restaurants” etc, the list goes on and the user should be able to add States and Businesses at will.

Every business (post type) will be listed under 1 state and 1 or more Businesses Classification.

What I can’t figure out is

How I can dynamically let the user who’s browsing the site view for example all businesses listed under New York -> Bakeries (or New York + Bakeries). I know there’s a Query Multiple Taxonomies plugin but the functionality needs to be dynamic.

So WP should behave like this: One page lists all States (category-states.php for example) and when a user clicks on a State it goes to all the “Businesses” Taxonomies which are assigned to this State. When he clicks a “Business” Taxonomy he views a list of all the businesses (post type) listed under the selected Taxonomies of “Businesses” + “US States”.

Any ideas of how this can be done in WP?

Thank you in advance.