Abstract
The development of Toronto's public transit system since 1953, when it became a responsibility of Metropolitan Toronto, is the focus of an evaluation of the way Metro's two-tier system of local government has performed. The analysis suggests that the operation of metropolitan institutions has contributed to the relative success of Toronto's transit system in a number of ways, although usually in conjunction with other factors. This conclusion points to several limitations in the way public-choice theorists define the requirements for meaningful analysis and comparison of the performance of alternative arrangements for governing metropolitan areas.

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