Cursos / 1º Ciclo / Faculty of Economy and Business Management :: Economics

Versao Portuguesa

ECONOMIA PÚBLICA - 2017/2018

2º curricular year
Semestralidade: 1st semester
ECTS: 6

Teachers

Leading Teacher: Prof. Doutora Cristina de Abreu
Assistant Professor: Prof. Doutora Cristina de Abreu

Class type and School hours

Teaching Language

Portuguese

Main Aims/Objectives


1. Develop analytical capacity, scientifically supported on State intervention in the economy in the allocative, distributive and stabilizer dimensions;
2. Knowledge of the scientific field of Public Choice in democratic political systems .
3. The comparative study of the impact of the major taxes in the present tax structure of developed countries - theory of tax incidence and optimal normative theory versus positive optimal theory (Economics of Taxation).

Specific Aims/Objectives


1. Contemporary State Functions .
2. Public Goods and Market Failure .
3. Theory of Domestic Divergences - Externalities .
3. Approaches to Distributive Justice.
4. Public- Choice Theory and Rent- Seeking Theory.
5. Theory of Tax Incidence (Economics of Taxation)
6. Normative Optimum Taxation versus Positive Optimum taxation

Skills to be acquired


Develop analytical skills through theoretical models presented, allowing, a scientific reflection and criticism on the real complex economic environment; the definition of policies on public choice ground - health policies , education policies , industrial policy , security policy , environmental policy.

Teaching Procedures


Lectures ;
Analysis and critical discussion , scientifically supported , of current topics on the policies implemented in Portugal in different areas of state intervention and fiscal policy .
Comparative studies , supported by targeted research between different European economies and the US economy.

Programme

I - Functions of the State in the Economy
Allocative function
Distributive function
Stabilizing function
State Functions Coordination and Conflict

II - The Theory of Public Goods
Failures of Market System and Public Goods
Free- Riding and Provision of Public Goods
Meritorious goods versus Public Goods
Positive and Negative Externalities - the Theory of Domestic Divergences .

III - Sssymetric Information

IV - The Theory of Optimum Distribution
The Optimum of Pareto
Is Equity an Economic Problem ?
Equity and the Social Welfare Function
The Second-Best Theory
Approaches to Distributive Justice

V - Traditional Approach of the State versus Public- Choice Approach
Public- Choice Theory - J. Buchanan and the concept of Economic Constitution and Fiscal Constitution.
The Rent- Seeking Theory - Lobbies and discretionary fiscal policies.

VI - The Theory of Tax Incidence (economics of taxation)
IRS incidence
IRC incidence
VAT incidence
Optimal Normative Taxation
Optimal Positive Taxation

Evaluation Type


Two tests in the semester course .
Presentation and discussion of research essays. .

Teaching Resources


Datashow ; specialized national and foreign journals ; Internet sources ; statistical information via national and international databases; e-books.

Sustainability Objectives

Keywords


Public economics
State intervention
Public policy
Public goods
Externalities
Fiscal Constitution
Public- Choice Theory
Pareto criterion
Social Welfare Function
Distributive Justice

Main Bibliography

Author TRIGO PEREIRA, Paulo et al.
Title Economia e Finanças Públicas
Edition 5ª ed.
Editor Escolar Editora
Year 2016
Author ROSEN, Harvey and GAYER, Ted
Title Public Finance - Global Edition
Edition 10th ed.
Editor McGraw-Hill Education - Europe
Year 2014
Author Roger LeRoy Miller; Daniel K. Benjamin;; Douglass C. North
Title Economics of Public Issues
Edition 20 th ed.
Place USA
Editor Pearson
Year 2017

Complementary Bibliography

Author GRUBER, Jonathan
Title Public Finance and Public Policy
Edition 5th
Place
Editor Macmillan Learning
Year 2016
Author Anthony B. Atkinson;; Joseph E. Stiglitz
Title Lectures on Public Economics