Public Choice

, Volume 29, Issue 1, pp 109–125 | Cite as

A competitive model of local government organization: Implications for the process of community formation within metropolitan regions

  • Robert Premus


This paper has been primarily concerned with the impact of alternative governmental structures on public sector efficiency within an urban region. In order to identify some of the implications of economies of scale in production and consumption of public goods, the presence of interjurisdictional externalities, congestion costs in public good consumption, and constraints in housing markets and the way in which these factors are influenced by varying degrees of jurisdictional consolidation, many limiting assumptions have been introduced. Factors such as interjurisdictional differentials in affluence, radical prejudice, suboptimization and externalities exert strong influences on the organizational structures that emerge in existing urban areas. Furthermore, the emergence of new factors (e.g., energy problems, transportation system options, institutional constraints imposed by the interaction of localities with federally funded programs) will no doubt affect the opportunity costs of alternative governmental structures and patterns of community formation. Further research concerning the impact of these additional forces and their relationship to the factors analyzed in the paper would be useful.


Public Good Opportunity Cost Housing Market Transportation System Urban Region 
These keywords were added by machine and not by the authors. This process is experimental and the keywords may be updated as the learning algorithm improves.


Unable to display preview. Download preview PDF.

Unable to display preview. Download preview PDF.


  1. Brainard, William C. and Dolbear, Jr., Trenery. “The Possibility of Oversupply of Local Public Goods: A Critical Note.”Jour. Pol. Econ., 75 (February, 1967), 86–90.Google Scholar
  2. Premus, Robert; Stickney, Frank; and Whippen, John. “An Analysis and Theoretical Model of the Social, Political and Economic Factors in Regional Governmental Service Area Development.”Proceedings Midwest Aids Conference, Detroit, May 6–8, 1976.Google Scholar
  3. Oates, Wallace E.Fiscal Federalism. New York: Harcourt Brace Jovanovich, Inc., 1972.Google Scholar
  4. Tiebout, Charles M. “A Pure Theory of Local Expenditures.”Jour. Pol. Econ., 64 (1956), 416–424.Google Scholar
  5. Tullock, Gordon.Toward A Mathematics of Politics. Ann Arbor: University of Michigan Press, 1967.Google Scholar
  6. Wagner, Richard E.The Public Economy. Chicago: The Markham Publishing Company, 1973.Google Scholar
  7. Williams, Alan. “The Optimal Provision of Public Goods in a System of Local Government.”Jour. Pol. Econ. 74 (February, 1966), 18–33.Google Scholar

Copyright information

© Center for Study of Public Choice Virginia Polytechnic Institute and State University 1977

Authors and Affiliations

  • Robert Premus
    • 1
  1. Wright State UniversityDayton

Personalised recommendations