Monday, November 2, 2009

Califrornia High Tax, Big Spending Problem

"The Big-Spending, High-Taxing, Lousy-Services Paradigm: California taxpayers don’t get much bang for their bucks" by William Voegeli, City Journal, Autumn 2009.
In 1956, the economist Charles Tiebout provided the framework that best explains why people vote with their feet. The “consumer-voter,” as Tiebout called him, challenges government officials to “ascertain his wants for public goods and tax him accordingly.” Each jurisdiction offers its own package of public goods, along with a particular tax burden needed to pay for those goods. As a result, “the consumer-voter moves to that community whose local government best satisfies his set of preferences.” In selecting a jurisdiction, the mobile consumer-voter is, in effect, choosing a club to join based on the benefits that it offers and the dues that it charges.

No comments:

Post a Comment