Objectives and competences
In this course students:
1. Are introduced to the public sector economics concepts.
2. Become familiar with the basic tools of analysis in public sector economics.
3. Are familiarized with fundamental market failures and their impact on social welfare.
4. Are familiarized with the main interventions of the government (state) in the market and their effect from the point of view of welfare economics.
5. Upgrade basic microeconomic and macroeconomic knowledge for understanding fundamental topics in the field of public sector economics.
Content (Syllabus outline)
1. Presenting the public sector and its role in the economy
2. Public/private goods
3. Externalities
4. Public versus private production of goods
5. Public choice theory
6. Determinants of public sector size and its size in selected countries
7. Structure of public sector expenditure
Learning and teaching methods
- lectures,
- tutorial,
- active individual and/or group work.
Intended learning outcomes - knowledge and understanding
Knowledge and understanding:
Students:
1. Understand fundamental market failures, the rationale for government (state) interventions in the market and the impact on social welfare.
2. Know the size of the public sector and explain its development over time.
3. Acquire other basic knowledge for understanding the key topics in public sector economics.
Intended learning outcomes - transferable/key skills and other attributes
Cognitive/Intellectual skills:
1. Acquire an understanding of the complexity of the connections of the public and private sectors of the economy.
2. Acquire the knowledge to use the basic tools of analysis in public sector economics.
3. Acquire the ability to analyze and synthesize basic theoretical knowledge in the field of public sector economics to solve concrete problems and operate in the public and private sector.
Key/Transferable skills
1. Develop skills and abilities to use the acquired knowledge in the field of public sector economics in various situations.
2. Develop skills for independent upgrading of acquired knowledge in the field of public sector economics.
Practical skills:
1. Acquire knowledge to explain basic current issues and events in the field of public sector economics.
Readings
Rosen, S.H., & Gayer, T. (2014 or earlier). Public Finance, 10th edition. New York: McGraw-Hill Irwin. (Selected chapters)
Musgrave, A. Richard, & Peggy B. Musgrave. (1989). Public Finance in Theory and Practice. Singapore: McGraw-Hill International. (Selected chapters)
Gruber, J. (2022 or earlier). Public Finance and Public Policy. Seventh Edition. Macmillan Learning. (Selected chapters)
Additional information on implementation and assessment Type (examination, oral, coursework, project):
Written examination
