Government in a market economy
This course is about government in a market economy. So we have two big protagonists, government and private markets, and some general themes about how they relate to each other.
Efciency of competitiv
Last class we introduced the idea of when the market economy does a good job of allocating resources, and when and how government inerventions may be appropriate (equity, market failures, etc.). But how can the plann
Excise taxation: Efciency
Of course, taxes are costly to those who must pay them. What is the cost of a tax to the taxpayer? First insight: it is not the revenue collected. Reasons: 1. Revenues are used to produce government goods and s
Previously we analyzed the efciency and incentive consequences of a single tax. Now we ask: What is a good tax system? What is the best way to trade off inefciencies of different tax bases?
University of Toronto Economics 336 Public Economics Midterm examination November 16, 2010 1. Under this system, two earner couples pay less tax than one earner couple of equal family income. (For full marks, the answer should explain why, or give a numer