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I meant that Detroit is an example of a city that did not meet the needs of the Market and so has effectively become bankrupt / collapsed while those people who could have moved to competing cities - I was trying to say that the competition between cities was working (although it's hardly a perfect market)

In answer to why - tax revenue is one less than compelling answer - my preference is to look back at the city states of Greece - they competed and fought for supremacy, for survival for riches - but mostly they fought because their city was their tribe and their home and the others were enemy. It's pretty human basic stuff I believe - nations are too big to get really worked up about but a city - it's the right sort of size.

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