What's geographic arbitrage, you ask? Essentially, it amounts to
leveraging contacts and skill in the big city while living in a much cheaper area. For instance, you could do a job in Toronto while living in the
Crows Nest Pass.
It makes a certain amount of economic sense to get the most money possible and maximize it in a cheap area. But what the article doesn't mention is the intangible things you miss when you're in the middle of nowhere. I came back from a two-year stint in the boonies to Vancouver and was actually happy to hear sirens, see traffic whizzing by and talk to someone other than the same ten people over and over.
Of course, other people have different experiences. Some people prefer quieter surroundings, or find the city irritating. But I know for a fact that I'm most comfortable in a teeming metropolis.