What will be the equilibrium distribution of residents


Problem

Consider the previous exercise and now suppose both types of residents can migrate to the other district.

a. Which residents will move?

b. What will be the equilibrium distribution of residents?

c. Are there still residents unhappy with the amount of local public good?

d. Is the provision of public good ancient (according to the Samuelson rule)? Explain why or why not.

The response should include a reference list. Double-space, using Times New Roman 12 pnt font, one-inch margins, and APA style of writing and citations.

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International Economics: What will be the equilibrium distribution of residents
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