60 Years Later and Still Going Strong: The Continued Relevance of the Tiebout Hypothesis

The theory known as the Tiebout Hypothesis concludes that an individual or family’s decision to move to a community matches their desired level of public goods. In this paper, we review results from over 40 articles in the last 14 years, validating the claim that the Tiebout Hypothesis continues to be relevant and topical. The “basket” of public goods reviewed includes U. S. states’ respective tax rates, Sun Belt migration levels, the relative cost and appeal of quality public schools, differing welfare policies, pollution levels, and comparative economic and personal freedom. The theory is that a proper sorting of these influences can guide policy makers to an optimal level of public goods for private entities and jurisdictions