Communities differ in both the bundle of amenities offered to residents and the implicit price of these amenities. Thus, households are faced with a choice of which bundle to select when they select their residence. This choice implies households make tradeoffs among the amenities; that is, the...

Municipalities sometimes retain separate police departments and park services while cooperating in public schooling services with neighboring municipalities. The theoretical model of Ellingsen (1998) predicts that: 1) under Tiebout sorting, larger size differences make big municipalities more...