The reasons for the existence of the public sector and the state, and their effects on the economy, the reasons for the size of the public sector, social choices, Nash equilibrium and the calculation of Pareto efficiency in public goods, the effects of taxes and incentives on the economy.
Public Choice III (PC) Mueller, D. (2003) Cambridge University Press. Intermediate Public Economics (H&M), Hindriks and Myles, MIT Press, 1st Edition Public Finance (PF), Rosen, H. S., McGraw Hill, 6th Edition Economics of the Public Sector (EPS), Stiglitz, J. E., W.W. Norton, 3rd Edition The Economics of Taxation (TET), Salanié, B., MIT Press, 1st Edition
After defining the concepts and institutions of public economics, the aim is to develop the student's ability to analyze and apply public economics in terms of the general equilibrium of the economy by examining public services, expenditures, and financing sources. Additionally, by studying the distribution problem, the student's ability to solve distribution problems is enhanced.
Week 1: The role and necessity of the state, Edgeworth box, the first and second theorems of welfare economics, measuring total welfare, public goods, provision of public goods, Nash equilibrium, Pareto efficiency and the Samuelson rule, externalities, income distribution and unemployment, regulation and non-competitive markets.
Week 2: The role and necessity of the state, Edgeworth box, the first and second theorems of welfare economics, measuring total welfare, public goods, provision of public goods, Nash equilibrium, Pareto efficiency and the Samuelson rule, externalities, income distribution and unemployment, regulation and non-competitive markets.
Week 3: The role and necessity of the state, Edgeworth box, the first and second theorems of welfare economics, measuring total welfare, public goods, provision of public goods, Nash equilibrium, Pareto efficiency and the Samuelson rule, externalities, income distribution and unemployment, regulation and non-competitive markets.
Week 4: The role and necessity of the state, Edgeworth box, the first and second theorems of welfare economics, measuring total welfare, public goods, provision of public goods, Nash equilibrium, Pareto efficiency and the Samuelson rule, externalities, income distribution and unemployment, regulation and non-competitive markets.
Week 5: The role and necessity of the state, Edgeworth box, the first and second theorems of welfare economics, measuring total welfare, public goods, provision of public goods, Nash equilibrium, Pareto efficiency and the Samuelson rule, externalities, income distribution and unemployment, regulation and non-competitive markets.
Week 6: Taxes and incentives
Week 7: Taxes and incentives
Week 8: Taxes and incentives
Week 9: Taxes and incentives
Week 10: Public choice, distribution problems, claim problems, cost allocation problems, allocation problems
Week 11: Public choice, distribution problems, claim problems, cost allocation problems, allocation problems
Week 12: Public choice, distribution problems, claim problems, cost allocation problems, allocation problems