ECON 368
Public Economics and Fiscal Policies Fall 2022
Division II
This is not the current course catalog

The public sector is an important part of the economy. Its objectives are to increase efficiency by correcting market failures, redistribute to achieve a more equal distribution, conduct fiscal policies to stabilize the economy, and, in a broader sense, set the rules of the game. This course discusses the role of the government in the economy, the different ways it acts to solve market failures and redistribute, and the consequences of government actions and government failures. We will draw on a political economy perspective to discuss how the nature of government decision-making impacts these outcomes. The course takes a comparative perspective in discussing differences in addressing market failures and redistribution in more market-oriented economies – like the US – and in economies where the government plays a more active role – like the Nordic countries. The course will also give considerable attention to the structure of fiscal policies and how they are employed to stabilize the economy.