Economic development in U.S. cities will be driven increasingly by forces of global economic interaction in the 21st century. Where the export sector is thriving, international trade and investment are creating more and better paying jobs. U.S. cities will have to adjust quickly to these and...

With the renewed interest in cities as economic centers comes a need to understand how local public services and local taxes are likely to affect city economic performance. This paper provides an equilibrium model of an open city economy with mobile firms and resident workers. Given household...