Attempts to measure the capitalization of local taxes into property prices, starting with Oates (1969), have suffered from a lack of local public service controls. We revisit this vast literature with a novel dataset of 947 time-varying local characteristic and public service controls for all...

The paper examines the effects of local fiscal variables and local economic conditions on exit decisions of Norwegian households. The study takes advantage of a unique survey data set in which respondents evaluate a range of local amenities and report whether they intend to relocate. We find...

When households are immobile among regions, the decentralized provision of public goods that generate interregional benefit spillovers is inefficiently low. A model of interregionial migration is used to study the provision of such services in the presence of free mobility of households. Within...

Capital tax competition is analyzed in a model with a single private and a locally supplied public consumption good. As a benchmark case necessary conditions for efficient interregional tax structures are derived and contrasted with the outcome of beggar thy neighbor strategies. If households...