Advanced Option in Economics I

Recommended Prerequisites

Advanced Macroeconomics I and II; and Advanced Econometrics I and II.  

Teaching Methods

The lectures are theoretical and practical, encompassing the explanation of concepts and models, as well as a practical component of problem solving and analysis of national and international economic data.

Whenever possible, empirical studies are presented and discussed, in order to assess their validity, foster critical reasoning and prepare students to develop their own research.

The evaluation methodology is explained in the first class and includes four elements: a final test; an individual essay; an oral presentation in class of one of the papers suggested by the teacher; attendance and class participation.

When the number of students is small, the course is offered as guided readings.   

Learning Outcomes

1. Apply the tools of economic analysis to investigate the mechanisms that societies use to choose the policies to implement, in the presence of conflicts of interests. Analyze the economic effects of different collective decision-making mechanisms.

2. Discuss the economic reasons to vote and be able to assess the impact of economic outcomes on incumbent politicians’ popularity and on election results.

3. Master the political business cycles models and discuss their hypothesis and conclusions

4. Discuss on the main explanatory theories for the growth of government and public debt on the economy.

5. Analyze the decision-making process and the outcome of redistributive programs, in the presence of conflicts of interest.

6. Develop skills to evaluate the rigor, validity and relevance of papers published in scientific periodicals.

7. Increase skills to conduct autonomous research on topics covered in the course unit.   

Work Placement(s)

No

Syllabus

1. Collective decision-making mechanisms. 2. The economics of electoral results. 3. Political business cycles. 4. Growth of the size of Government. 5. Political parties, institutions, and budget deficits. 6. The political economy of redistribution.  

Head Lecturer(s)

Paulino Maria Freitas Teixeira

Assessment Methods

Assessment
Class participation : 10.0%
Synthesis work: 20.0%
Research work: 30.0%
Exam: 40.0%

Bibliography

Altman, D. (2011). Direct Democracy Worldwide, Cambridge University Press: Cambridge, UK

Besley, T. (2006). Principled Agents? The Political Economy of Good Government. Oxford University Press: Oxford, UK.

Butler, E. (2012). Public Choice - A Primer. The Institute of Economic Affairs: London, RU.

Mueller, D. (2003). Public Choice III. Cambridge University Press: Cambridge, RU.

Ao longo das aulas será indicada a bibliografia específica para cada capítulo do programa. / In each class, the bibliography specific to each chapter is listed.