The article discusses the justification for disparities in the local government supply. Equality can be defined as equality in the individual's `terms of trade' in respect of the municipality (benefit/effort equation), and the distribution of specific local government services. There are four...

Studies of government budget-making recurrently describe it as a bargaining process between `guardians' and `advocates'. Yet this observation has not been implemented in formal modelling of budgetary processes. This paper employs a Nash model to analyse local government budgeting. The model is...