Public Economics and Finance
Level:
Doctoral Course Status:
Elective CEU code:
ECON 5233 - Public Economics and Finance CEU credits:
2 ECTS credits:
4 Term:
2nd Academic year:
2009/2010 Academic year:
2010/2011 Academic year:
2011/2012 Semester:
Fall Host Unit:
Department of Economics Academic Program:
CEU Instructor(s):
Peter Benczur Learning Outcomes:
i) understanding the main issues and open questions
in the topic, ii) development of technical skills that enable students to critically evaluate core
papers in the field, iii) development of skills that enable students to build creatively on
existing research, iv) acquiring tools and methods crucial for tax policy analysis.
Assessment :
Grading will be based on problem set assignments (15%) and a final
examination (85%). In order to get the minimum pass grade (C+) for the course, at least 50%
of the total mark must be obtained.
Full description:
The course analyzes the effect of taxation on the economy.
The course is aimed at advanced PhD and second year MA students who
have a solid background in microeconomics and applied econometrics. It draws heavily on
formal models and methods. Students need to be familiar with the basics of consumer theory,
dynamic optimization, and the econometrics of self-selection and endogeneity.
Course Outline: The course analyzes the effect of taxation on the economy: partial and
general equilibrium tax incidence, optimal commodity, corrective and income taxation, taxes
and labor supply, taxation and savings, taxation and firm behavior, and a comparison of
theoretical versus actual tax codes. Its approach mixes theories (like optimal income tax
schemes) and empirical assessments (like estimates of the elasticity of reported taxable
income to marginal tax rates); and there is emphasis both on normative (like optimal policies)
and positive (like revenue implications of tax changes) aspects of public economics
