This paper introduces a mechanism that, contrary to standard reasoning, may lead segregation in U.S. cities to increase as racial inequality narrows. Speci fically, when the proportion of highly educated blacks rises holding white education fi xed, new middle-class black neighborhoods can...

This paper presents a new equilibrium framework for analyzing economic and policy questions related to the sorting of households within a large metropolitan area. We estimate the model using restricted-access Census data that precisely characterize residential and employment locations for...

This paper sheds new light on the forces that drive residential segregation on the basis of race, assessing the extent to which across-race differences in other household characteristics can explain a significant portion of observed racial segregation. The central contribution of the analysis is...

Tiebout's classic 1956 paper has strong implications regarding stratification across and within jurisdictions, predicting (in the simplest instance) a hierarchy of internally homogeneous communities, ordered by household income. In practice, urban areas tend to exhibit varying degrees of...

Tiebout's classic 1956 paper has strong implications regarding stratification across and within jurisdictions, predicting in the simplest instance a hierarchy of internally homogeneous communities ordered by income. Typically, urban areas are less than fully stratified, and the question arises...