If government believes that Tiebout sorting is optimal,which of the following is TRUE?

Question

Quizplus · Accepted Answer

If the government believes in Tiebout sorting, it implies that they support the idea of people sorting themselves into communities with similar preferences for public goods such as education. In this context, allowing for variation in school spending across districts would be desirable as it would enable different communities to provide the level/type of education that aligns with the preferences of their residents. Equalizing school spending across districts may undermine the benefits of Tiebout sorting by limiting the ability of communities to differentiate themselves based on their preferences. Local property taxes should be linked to local education spending to ensure that communities have the ability to fund their preferred level of education. Property taxes do not necessarily need to be the same in each community, as different communities may have different preferences for public goods and, therefore, varying tax rates can help to support these different preferences.

If Government Believes That Tiebout Sorting Is Optimal,which of the Following