Deconstructing the Tiebout Hypothesis

Tiebout's pure theory of local expenditures is analysed in terms of: (1) the theory of individual choice left implicit in the model; (2) the problems posed by the internal logic of the model; and (3) the inability of the model to explain patterns and events that we see. It is shown that the conception of equilibrium maintained by Tiebout cannot be sustained within the workings of reasonable adjustment mechanisms. A contextual argument is advanced to demonstrate the link between individual choice and the context of mobility, The implications of the Tiebout model and the proposed contextual theory of choice and mobility are both explored with respect to the equality of outcomes and public policy

Argument (complex analysis · Biology · Context (archaeology · Econometrics · Economics · Mathematical economics · Microeconomics · Neoclassical economics · Positive economics · Public economics · Public good · Tiebout model · Fiscal Policy and Economic Growth · Gender, Labor, and Family Dynamics · Income, Poverty, and Inequality

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