Econ 131 - Undergraduate Public Economics

Spring 2025 - Taught by Emmanuel Saez

This course focuses on the role of the government in the economy. The aim is to provide an understanding of the reasons for government intervention in the economy, analyzing the benefits of possible government policies, and the response of economic agents to the government's actions. The course covers tax policy and inequality, social insurance programs, public goods, environmental protection, and the interaction between different levels of government. Special emphasis is on current policy issues such as tax reform and inequality.

Each lecture is posted in pdf format with linked references. There is no required textbook. The source tex file and the pdf tables and figures are also provided separately so that you can use and adapt this material for your own lectures (no permission needed). Slides will be updated shortly before each lecture

Lecture attendance and quizzes/polls managed through i-clicker cloud

B-course website (lecture recordings and messages)

Syllabus

Lecture Slides:

Introduction (tex) (figs&tables)
Theoretical Tools (tex) (figs&tables)
Government Budget and Debt (tex) (figs&tables)
Inequality, Taxes, and Transfers (tex) (figs&tables)
Tax Incidence (tex) (figs&tables)
Optimal Labor Income Taxation (tex) (figs&tables)
Taxes and Labor Supply (tex) (figs&tables)
Taxable Income Responses to Taxes (tex) (figs&tables)
Corporate Taxation (tex) (figs&tables)
Taxes on Capital and Savings (tex) (figs&tables)
Externalities (tex) (figs&tables)
Public Goods (tex) (figs&tables)
Cost-Benefit Analysis (not covered in class) (tex) (figs&tables)
Political Economy (tex) (figs&tables)
State and Local Governments (tex) (figs&tables)
Education (tex) (figs&tables)
Social Insurance: Introduction (tex) (figs&tables)
Health Insurance (tex) (figs&tables)
Social Security and Retirement (tex) (figs&tables)
Unemployment Insurance, Disability Insurance, Workers' Compensation (tex) (figs&tables)

Assignments:

ps1  (due date: March 5, 11:59pm)  ps1 solutions (available after due date)
PRACTICE Midterm from Spring 2021     midterm 2021 solution
PRACTICE Midterm from Spring 2022     midterm 2022 solution
PRACTICE Midterm from Spring 2023     midterm 2023 solution
Midterm  (in class 5:10pm-6:30pm: March 12)  midterm solutions (available after midterm)
ps2  (due date: April 9, 11:59pm)  ps2 solutions (available after due date)
ps3  (due date: April 30, 11:59pm)  ps3 solutions (available after due date)
Final Exam 2025 (Friday 3-5pm: May 16)   final exam solution 
Final Exam 2025   final exam 2025 solution  grades statistics 2021
Final Exam 2023   final exam 2023 solution  grades statistics 2023
Final Exam 2022   final exam 2022 solution  grades statistics 2022