Public Economics

Understand and economically justify why State intervention in the economy should occur. Study the main State
functions in the framework of economicpolicy
public intervention, being able to distinguish the public intervention
according to reasons of efficiency and social justice. Understand and discuss the collective choices and the
process of policy decisionmaking.
Study the efficiency and equity in fiscal policy. Characterize and compare the
Portuguese fiscal system with other international fiscal systems.

I – Introduction
1. Relationship between the State and the Economy – historical evolution
2. Public economy and public finance
II – State intervention
1. Market failure
2. Efficiency and equity
3. Macroeconomic goals
III – Collective choices and public decisionmaking
1. General Framework
2. Simple voting with majority rule
3. Voting in public goods financed differently
4. Complex voting
5. Collective choices, democracy and public interest
IV – Taxing, efficiency and equity
1. Efficiency in taxing
2. Equity of a fiscal system
3. Economic and legal incidence
V – The Portuguese Fiscal System
1. Major tax classifications
2. Ways of taxing – the Portuguese Fiscal System
3. International comparisons
4. Indicators for measuring a fiscal system

NAO

Barbosa, António S. Pinto (1998), “Economia Pública”, McGrawHill.
Frank, R. H. (2006) “Microeconomia e Comportamento”, McGrawHill,
3ª ed.
Pereira, Paulo Trigo, António Afonso, Manuela Arcanjo e José Carlos Gomes Santos, (2009), “Economia e Finanças
Públicas”, Escolar Editora;