Table 4 Model outcome: baseline calibration
From: Tiebout sorting with progressive income taxation and a fiscal equalization scheme
Municipality group | Rich/Poora | |||||
|---|---|---|---|---|---|---|
Symbol | Rich | Poor | Units | Cal. | Data | |
Index number | j | 1 | 2 | |||
Household distribution | ||||||
Population | \(N_j\) | 142.934 | 217.066 | k | 0.66 | 0.61 |
Average income | \(Y_j/N_j\) | 97.902 | 60.980 | k CHF | 1.61 | 1.83 |
Municipality characteristics | ||||||
Housing price | \(p_j\) | 13.330 | 13.352 | k CHF/10sqm | 1.00 | 1.58 |
Tax rate multiplier | \(t_j\) | 82.803 | 113.734 | \(\%\) | 0.73 | 0.77 |
Public consumption | \(g_j\) | 12.606 | 17.407 | k CHF\(/N_j\) | 0.72 | – |
Public expenditure | \(G_j/N_j\) | 3.059 | 4.573 | k CHF\(/N_j\) | 0.67 | 1.06 |
FES | \(FES_j\) | − 1.787 | 1.456 | k CHF\(/N_j\) | − 1.23 | − 6.06 |