Economics of the Public Sector
This introductory course in Public Economics covers basic issues
including a role of government in modern market economies, market failures and
public goods, equity-efficiency trade-offs, public expenditure programmes and
taxation principles. It combines theoretical models with empirical evidence.
Objectives and instruments of public policies are demonstrated with examples of
health care, pensions, education, housing, crime control, and welfare programmes. General principles of cost-benefit analysis
are introduced. The course ends in discussion of increasing government size,
its underlying roots, and possible solutions for public spending reduction.