Public Economics

Public Economics is the study of the role that the government plays in the economy, including both the theoretical rationale for government intervention, and the efficiency and equity consequences of its actions. In this course, we will study four broad themes related to the role of the government: (1) public goods and externalities, including education, infrastructure and the environment, (2) redistribution and social insurance, including health insurance, social security, and cash transfer programs, (3) taxation, and (4) policies to promote economic growth. For each thematic area, we will study the economic theory, and read and evaluate the empirical evidence regarding the impacts of government intervention. As part of this course, we will consider government programs in policies in both higher- and lower-income countries.