This course does not use B-space. 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 health care reform, income tax reform, and budget deficits.

Each lecture is posted in pdf format with linked references. 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 about 1 week before each lecture

Sections' notes are posted online (Arlen Guarin) and (Eva Lyubich)

Each lecture is posted in pdf format with linked references. 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 about 1 week before each lecture

Sections' notes are posted online (Arlen Guarin) and (Eva Lyubich)

Syllabus

Lecture Slides:

Introduction (tex) (figs&tables)

Theoretical Tools (tex) (figs&tables)

Empirical Tools (not covered in lectures) (tex) (figs&tables)

Budget and Debt Analysis (tex) (figs&tables)

Introduction to Taxes and Transfers and Inequality (tex) (figs&tables)

Tax Incidence (tex) (figs&tables)

Optimal Labor Income Taxation (tex) (figs&tables)

Taxes and Labor Supply (tex) (figs&tables)

Responses of Reported Taxable Income to Taxes (tex) (figs&tables)

Taxes on Capital and Savings (tex) (figs&tables)

Corporate Taxation (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: February 27) ps1 solutions (available after due date)

PRACTICE Midterm from Spring 2015 midterm 2015 solution

PRACTICE Midterm from Spring 2017 midterm 2017 solution

Midterm (in class 5:10pm-6:30pm: March 13) midterm solutions (available after midterm) midterm grades statistics

ps2 (due date: April 3) ps2 solutions (available after due date)

ps3 (due date: April 24) ps3 solutions (available after due date)

Final Exam 2015 final exam 2015 solution final grades statistics 2015

Final Exam 2017 final exam 2017 solution final grades statistics 2017

Final Exam 2019 final exam 2019 solution final grades statistics 2019