Anonymous Price Taking Equilibrium in Tiebout Economies

We introduce a model of a local public goods economy with a continuum of agents and jurisdictions with finite, but unbounded populations. Under boundedness of per capita payoffs we demonstrate nonemptiness of the core of the economy. We then demonstrate that ∗We are indebted to Manfredo Dix, Vladislav Gorlov, Mamoru Kaneko, Hideo Konishi, Tom Nechyba, Roy Radner, and Bill Weiss for helpful comments. We are also indebted to the National Science Foundation of the U.S. and the Social Sciences and Humanities Research Council of Canada for support.