Course description
This course is a one-semester introduction to Public finance—focusing on the role of government in the economy. In this course we will study the rationale for the existence of the public sector (public goods, market failures) and government interventions (taxation policy, income redistribution).
Course goals
Students will become acquainted the theoretical foundations of how the government affects the economy, in addition to being exposed to a variety of empirical research. Students will gain experience in critical thinking and will learn about the theoretic basis of the economic arguments used by politicians.
Course results
- Analyze the concepts of public goods and market failures and their cures.
- Apply various socio-economic models to the evaluation of the public policy questions.
- Discuss the reasons for government intervention in the economy as well as different types of regulation.
- Evaluate and compare different policies of taxation and income redistribution.
- Analyze the issues in managing fiscal policy.
- Learn state of the art empirical work in public finance.
