"Tax competition is a good thing"? How does that make any sense? If competition is a good thing for a particular service (say, firefighting), then you don't need to fund it with taxes, and indeed shouldn't; you can fund it by charging the consumers of the service. It's only the services for which competition-on-price is actually a bad thing (e.g. health care, stock market regulation, and indeed firefighting) where you can morally justify funding them with taxation.
