Birds tells the story of two Athenians seeking to escape from the chaos and corruption of Athens, rife with corrupt politicians, choked law courts and a long bitter war. After finding Tereus, the mythical king who was transformed into a bird, they form a pact with the birds to build Cloudcuckooland where the comic hero Makedo rules. In a hilarious parody of civic life, a parade of bureaucrats, religious figures, and urban planners are rudely dispatched by the newly self crowned king. Makedo even brings the gods to their knees by arranging for the birds to intercept all sacrifices directed by mortals to the Olympians. The play closes with Makedo marrying a goddess.

Peter Meineck believes that the historical background of Birds is significant. At the time of its performance, 414 BC Athens was preparing to assault Sicily, an expedition that turned out to be disastrous. Athens was increasingly split into factions, for and against the invasion, for and against its radical democracy. Just before the force sailed, Herms, a type of religious statue, were found mutilated, and Athens was plunged into a political and religious crisis. Meineck observes, "The city of Athens teemed with false prophets exploiting the hopes and fears of the people. It is against this background that Birds is set."