Introduction to small cities : how to describe/define them? -- Small cities in a world of mega-cities -- What are the strengths and weaknesses of smaller cities? -- Is size important? -- Public policy and small cities in North America -- Public policies and small cities in the European Union --...

We analyze the role of optimal income taxation across different local labor markets. Should labor in large cities be taxed differently than in small cities? We find that a planner who needs to raise revenue and is constrained by free mobility of labor across cities does not choose equal taxes...