Course Outline 2013'2014
Environmental Economics
Natural Resources Group
De Leeuwenborch building
Hollandseweg 1
6706 KN Wageningen
The Netherlands
and
Public Sector Economics
Course code
ENR'22306
Credits
6
Period
5
Language
Dutch
Contact person
Dr. Edwin van der Werf (coordinator),
room 1116
Lecturer(s)
Dr. Rein Haagsma, room 3117
Dr. Edwin van der Werf, room 1116
Examiner(s)
Dr. Rein Haagsma
Dr. Edwin van der Werf
Secretariat
Gré Schurink, Leeuwenborch 1117,
tel. 0317'484255
First lecture
Monday, March 17, 2014, 13.30'
15.15, room C81
Exam
Wednesday, May 7, 2014, 13.30'
16.30, room C4032
Contents
1.
2.
3.
4.
5.
6.
7.
Profile of the course
Learning outcomes and exam
Prerequisites
Educational activities
Learning materials and resources
Themes
Schedule
1
Profile of the course
This course covers the theory of public sector economics (or ‘public finance’; ‘openbare financiën’), that
is, the role of the government in the functioning of the economic system. The lectures focus on the
theory of public sector economics as well as on timely topics regarding the Dutch public finance, such as
budget deficit, government debt and pensions/ageing. In addition, students write, present and discuss a
group paper on a topic regarding public finance in the Netherlands. Furthermore, students regularly hand
in solutions to homework assignments, the solutions to which are discussed in tutorials.
The course is designed for BSc students of Economics and Governance (BEB) and is taught in Dutch.
Students from other study programmes including MSc programmes are very welcome provided they have
the required knowledge (see below).
2
Learning outcomes and examination
The learning outcomes and examination are given in the table below; H =
exam; G = group assignments and discussions.
homeworks; E = written
After completion of this course, students are expected to be able to...
Explain the problem of efficient provision of public goods
Analyse the incidence and social efficiency of taxes
Analyse the actual financial position of the Dutch government
Evaluate the actual financial position of the Dutch government with respect to
existing financial norms, sources of revenue, and types of expenditure
Analyse recent themes about the Dutch welfare state such as the economic
consequences of the ageing population
Explain the decision making processes of the European Union and the EU system of
fiscal federalism
•
•
•
Examination
H, E
H, E, G
H, E, G
H, E, G
H, E, G
H, E
Exercises (homeworks; see below) will be graded and will count for 20% of the final grade. The
deadline for each homework set is 13.30h on the day of the respective tutorial. Homework
solutions can only be handed in through Blackboard, or in hard copy at the start of the lecture,
or in hard copy in the mail box of Edwin van der Werf. Solutions handed in through e-mail are
not accepted.
Group assignments and discussions of these assignments will be graded and will count for 20%
of the final grade. Presence at discussion meetings is mandatory. Information on the group
assignments can be found on the Blackboard page of the course.
There is a written closed-book exam on the subjects covered in the lectures and the sections of
the books mentioned in the table below under ‘7 Schedule’. The weight of the exam is 60%. A
pass on the exam (5.50 or higher) is required to complete the course.
Grades for each type of examination (homeworks; group assignment and discussions; written exam)
remain valid until the end of the next academic year.
3
Prerequisites
Required knowledge is Microeconomics (ECH 21806) or Economics of Agribusiness (AEP20306).
4
Educational activities
The course includes lectures, tutorials and discussion meetings. In the lectures we present the main
topics and some seminal models of public sector economics. Four tutorials are scheduled to discuss
homework exercises. In three lectures and two discussion meetings, students discuss current issues of
Dutch public policies.
Presence at the discussion meetings is mandatory.
1
5
Learning materials and resources
Rosen, H.S. and Gayer, T., Public Finance, 10th edition (Global Edition), 2014. McGraw Hill.
C.A. de Kam, L. Koopmans, en A.H.E.M. Wellink, (2011) Overheidsfinanciën, 13e druk,
Noordhoff Uitgevers, Groningen.
•
Compulsory readings (mandatory for written exam) for lectures on Dutch Public Finance; a list
will be provided on the Blackboard page of the course
Additional material will be distributed during tutorials and/or via Blackboard.
•
•
6
Themes
See ‘7 Schedule’.
7
Schedule
See table below; R # refers to chapter # of Rosen and Gayer; K # refers to chapter # of De Kam et al.
The following chapters of De Kam et al. are mandatory material for the written exam: 1-5, 79, 11, 13, 15.
All meetings are scheduled for the afternoon: 13.30-15.15.
Note that there is a discussion meeting on Monday April 28 to replace Easter Monday April 21.
2
Week
1
Day
Mon 17/3 (Lecture)
Tue 18/3 (Lecture)
Wed 19/3
(VOLUNTARY)
Room
C81
C82
C408
Forum
Themes
Introduction
Dutch public finance part 1
Refresher on consumer theory, part
1
Thur 20/3 (Lecture)
Mon 24/3 (Lecture)
C82
C81
Dutch public finance part 2
Dutch public finance part 3
Tue 25/3 (Lecture)
C82
Wed 26/3
(VOLUNTARY)
C408
Forum
Decision
making
and
fiscal
federalism in the EU
Refresher on consumer theory, part
2
Thur 27/3 (Tutorial)
C82
3
Mon 31/3 (Lecture)
Tue 1/4 (Lecture)
Thur 3/4 (Tutorial)
C81
C82
C82
4
Mon 7/4 (Lecture)
C81
Tue 8/4 (Lecture)
C82
Thur 10/4 (Tutorial)
C82
5
Mon 14/4 (Lecture)
Tue 15/4 (Lecture)
Thur 17/4 (Lecture)
C81
C82
C82
6
Mon 21/4 : Easter
Tue 22/4 (Tutorial)
-C82
Thur 24/4 (Discussion)
C82
No lecture
Tutorial, exercises based on R 14,
15, 16, 18
Discussion group assignments part 1
Mon 28/4 (Discussion)
C81
Discussion group assignments part 2
2
7
1
Tutorial, exercises based on material
of the previous four lectures, and
final instructions group assignments
Markets and market failure
Public goods and education
Tutorial, exercises based on R 1, 3,
4, 7
Income redistribution: conceptual
issues
Expenditure programs for the poor
Tutorial, exercises based on R 12,
13
Taxation and income distribution
Efficient and equitable taxation
Personal taxation and behavior
Literature
R 1 (only introduction and ‘Public finance and ideology’)
K 1-5
You might want to have a look at the materials used in
ECH10406 Economics B and ECH21806 Microeconomics,
or the Appendix in Rosen and Gayer
Miljoenennota 2014 + K 7 + RG 20
Additional material group assignments (a list will be
provided through Blackboard)
See below1 + K 15
Lecturer
van der Werf
Haagsma
van der Werf
You might want to have a look at the materials used in
ECH10406 Economics B and ECH21806 Microeconomics,
or the Appendix in Rosen and Gayer
Homework
van der Werf
R3
R 4, 7 (only introduction, ‘Justifying…’, and ‘What can…’)
Homework
van der Werf
van der Werf
van der Werf
R 12
van der Werf
R 13 (only ‘TANF’, ‘Income maintenance…’, ‘The earned
income…’, and ‘Overview’)
Homework
van der Werf
R 14
R 15, 16
R 16, 18 (only up to and including box ‘Empirical
evidence’
on
pp.
421-422);
deadline
group
assignments
-Homework
van der Werf
van der Werf
van der Werf
Presentation and discussion group papers
Haagsma,
der Werf
Haagsma,
der Werf
Presentation and discussion group papers
Chapter 3 of ‘The economics of European integration’, Richard Baldwin and Charles Wyplosz; will be made available through Blackboard.
3
Haagsma
Haagsma
Haagsma
Haagsma
van der Werf
-van der Werf
van
van
4