Abstract: Based on Tiebout′s “voting with their feet” model, this paper adopts many kinds of spatial panel model and spatial weight matrix transformation methods to carry out relevant investigation considering the possible spatial correlation between the financial expenditure and population mobility.The result shows that there is an obvious spatial interaction effect between fiscal expenditure and cross-regional migration, and regional fiscal expenditure has a spatial feedback effect on cross regional population mobility,which means that the influence of local fiscal expenditure on local population mobility would transmit the neighboring region and the influence would furtherly return to local region itself. Thus, to add the fiscal expenditure would not only increase the rate of local net population migration, but also reduce the rate of net population migration of the neighborhood, which may result in the convergence of population and fiscal policies in adjacent area. Therefore, in the formulation of public goods supply and talent introduction policy, different regions should pay attention to the use of the advantages of resources and their spatial location to provide a better business environment and the credibility of the government and enhance the efficiency of financial resources;we should pay attention to the overall coordination and synergy between fiscal policy and environmental and industrial policies so as to form location characteristics and reduce spatial feedback effect.

Key words: Tiebout′s Model, Spatial Panel, fiscal expenditure, population migration