Public goods and public welfare
Professor John Head
One 3-hour session per week * First semester * Clayton * Prerequisites: ECO4650 and ECO3810 or equivalent
Objectives On completion of this subject students should be familiar with the welfare framework, economic concepts and theoretical economic analysis of public goods at an advanced level; be familiar with advanced economic analysis of political decision-making in the public choice literature; have a sophisticated understanding of the implications of public goods analysis for government policy in major areas of public expenditure; have a sophisticated appreciation of the limitations and deficiencies of theoretical and empirical economic analysis in this general area.
Synopsis The course covers a variety of topics in the theory of public goods including optimum conditions analysis; market failure and problems of political decision-making in relation to the supply of pure and impure public goods; separation of equity and efficiency aspects; possible applications to such issues as income redistribution, merit wants, pollution control and multi-level government.
Assessment Examination (3 hours): 100%