IBE316-10 - IBE 316 Economic Policy Stiglitz: Economics of...

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IBE 316 Economic Policy Stiglitz: Economics of the Public Sector Chapter 10: The Analysis of Expenditure Policy Keisuke OTSU Sophia University FLA Spring 2008 OTSU (Sophia University FLA) IBE 316 Spring 2008 1 / 16
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Midterm Average 22.7/30 (76%)! OTSU (Sophia University FLA) IBE 316 Spring 2008 2 / 16
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Overview Focus Questions What are the major steps in the analysis of a public expenditure program? What are some of the reasons why the actual e/ects of a government program are di/erent from those that are intended, or those that are Why are some programs said to be ine¢ cient? How in practice are the distributional impacts of a program assessed? What is meant by the trade-o/ between equity and e¢ ciency? Why might an understanding of the political process be relevant for an understanding of the design of government programs? OTSU (Sophia University FLA) IBE 316 Spring 2008 3 ± 16
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Need for Program who pressed for its passage? what were the perceived needs that it supposedly addressed? Long term care insurance (passed in 2000) aging Japanese society care insurance should be di/erent from medical insurance OTSU (Sophia University FLA) IBE 316 Spring 2008 4 ± 16
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Market Failures Is the need related to a market failure? imperfect competition
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IBE316-10 - IBE 316 Economic Policy Stiglitz: Economics of...

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