EC426     
Public Economics

This information is for the 2023/24 session.

Teacher responsible

Prof Frank Cowell SAL 3.25A

Prof Johannes Spinnewijn SAL.3.24

Prof David Seim

Availability

This course is available on the MPhil/PhD in Environmental Economics, MSc in Econometrics and Mathematical Economics, MSc in Economics, MSc in Economics (2 Year Programme), MSc in Environmental Economics and Climate Change, MSc in Environmental Policy, Technology and Health (Environmental Economics and Climate Change) (LSE and Peking University) and MSc in International Health Policy (Health Economics). This course is available with permission as an outside option to students on other programmes where regulations permit.

Pre-requisites

Students must have completed Introductory Course in Mathematics and Statistics (EC400).

In exceptional circumstances, students may take this course without EC400 provided they meet the necessary requirements and have received approval from the course conveners (via a face to face meeting), the MSc Economics Programme Director and their own Programme Director. Contact the Department of Economics for more information (econ.msc@lse.ac.uk) regarding entry to this course.

Course content

A graduate course in the principles of public economics and topics in public economics. Principles of public economics cover: Welfare analysis; concepts of fairness, equity and efficiency; social welfare. Policy design: social insurance, income taxation. Taxation; household and firm behaviour. Public goods and externalities. Behavioural public economics; implications for welfare analysis and policy. Topics in public economics may include: Behavioural responses to taxation. Empirical strategies in public economics. Poverty, inequality and optimal low-income support. Compliance problems. Inheritance and wealth taxation.

Teaching

20 hours of lectures and 10 hours of seminars in the AT. 20 hours of lectures and 9 hours of seminars in the WT. 1 hour of seminars in the ST.

There will be a reading week in Week 6 of WT only (no lectures or classes that week).

This course is delivered through a combination of classes and lectures totalling a minimum of 60 hours across Autumn Term, Winter Term, and Spring Term.

Formative coursework

Two marked assignments per term.

Indicative reading

Most of the readings will be in the form of journal articles, but some use will also be made of the following texts:

  • A Auerbach & M S Feldstein (Eds), Handbook of Public Economics, Vols I-III, North-Holland;
  • A B Atkinson & J E Stiglitz, Lectures on Public Economics, McGraw-Hill, 1980;
  • G Myles, Public Economics, Cambridge University Press, 1995.

Assessment

Exam (50%, duration: 2 hours, reading time: 15 minutes) in the spring exam period.
Essay (50%, 6000 words) in the ST.

Key facts

Department: Economics

Total students 2022/23: 20

Average class size 2022/23: 10

Controlled access 2022/23: Yes

Lecture capture used 2022/23: Yes (MT & LT)

Value: One Unit

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