ECON 421 - The Public Economy

Units: 3

The economic justification for government is usually based on the inability of markets to achieve certain economic and social objectives. This is often referred to as market failure. Issues connected with market failure include public goods provision, externalities, the income distribution, and more. Examines the ways in which government deals with market failure. Discusses government taxation, transfer payments, and expenditure policies and the effects of these policies on incentives and behavior. Enrollment Requirements: MATH 132 or MATH 160 , ECON 201 and ECON 202 .