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The course deals with the subject public finance and politics. It starts with a discussion of economic efficiency and motives for public intervention in the market economy. Collective goods and external effects are, for instance, discussed as are motives for income distribution via taxation and subsidies and their consequences for economic efficiency. The structure of the tax system is studied from the perspectives of efficiency and politics. Theories of the motives of interest groups and those of political parties and politicians are examined. Differentt perspectives are combined and compared in order to explain the growth of the public sector. The course is concluded by student group reports on a current issue in the field, which are presented and discussed in seminars.

Progressive specialisation: G1F (has less than 60 credits in first‐cycle course/s as entry requirements)

Education level: Undergraduate level

Selection:

Selection is usually based on your grade point average from upper secondary school or the number of credit points from previous university studies, or both.

This course is included in the following programme

• Programme in Business and Economics (studied during year 3)
• Master Programme in Economics: Master (studied during year 1)
• Political Science (studied during year 3)