ECON2264-3 : Public choices and budgeting

Study Programmes 2015-2016

ECON2264-3

Public choices and budgeting

Part 1 : Public choices analysis
Part 2 : Budgeting

Duration :

Part 1 : Public choices analysis : 15h Th
Part 2 : Budgeting : 15h Th

Number of credits :

Master in economics : general (120 ECTS)		5
Master in economics : general (120 ECTS)		5

Lecturer :

Part 1 : Public choices analysis : Bernard Jurion
Part 2 : Budgeting : Luc Leruth, Elisabeth Paul

Coordinator :

Language(s) of instruction :

French language

Organisation and examination :

Teaching in the second semester

Units courses prerequisite and corequisite :

Prerequisite or corequisite units are presented within each program

Course contents :

Part 1 : Public choices analysis

The aim of this course is to analyse some political behaviour by using an economic approach.The content is based on the "Public Choice Theory". The following topics are discussed: voting theory (unanimity rule, majority rule and optimal majority, cycling, Arrow's theorem, median voter theorem, logrolling, simple alternatives to majority rule, ...) and representative democracy (two-party competition, multiparty systems, two views ef representation, political business cycle, ...). It is also emphasised on the objectives of the public administration (bureaucracy) and lobbies. The size and the growth of government is also explained (demand for public goods, fiscal illusion, less potential for productivity advances in the public sector, ...).

Part 2 : Budgeting

After a brief introduction to the international financial system, the course discusses the Fiscal Table of Government Operations and the main components of governmental budgets. The issues dealt with include the sustainability of public debt, tax administration, budget deficit and financing. The second part of the course deals with public expenditure management, medium-term budgeting and performance budgeting techniques. The course accounts much for the case of developing countries.

Learning outcomes of the course :

Part 1 : Public choices analysis

The student must be able to: - explain public choices by the rationality of economic agents; - analyse, in a critical perspective, the results of the decision making in the public sector.

Part 2 : Budgeting

The course aims to initiate students to budgeting techniques in industrial and developing countries.

Prerequisite knowledge and skills :

Part 1 : Public choices analysis

Students should have followed an introductory course in economics and, ideally, a course in public economics or public finance.

Part 2 : Budgeting

There is no mandatory pre-requisite to attend the course. However, basics in public economics (computation of the GDP, etc.) are a plus.

Planned learning activities and teaching methods :

Part 1 : Public choices analysis

Ex cathedra presentations.

Part 2 : Budgeting

The course is mainly given as a seminar at a date to be determined (but the classes are concentrated over a one or two week period). An exercise is realized during the course.

Mode of delivery (face-to-face ; distance-learning) :

Part 1 : Public choices analysis

Face-to-face. Second semester.

Part 2 : Budgeting

Face-to-face (seminar animated by the 2 professors).

Recommended or required readings :

Part 1 : Public choices analysis

Lecture notes.

Recommended literature:

MUELLER, D.C., Public Choice, Cambridge University Press.

MUELLER, D.C., The Public Choice Approach to Politics, Edward Elgar.

Part 2 : Budgeting

There is no syllabus, so that presence at the course is highly recommended. Some documents are distributed according to the specific themes covered in the course. PPT presentations are also distributed to students.

Assessment methods and criteria :

Part 1 : Public choices analysis

Oral and written exam the same day.

Part 2 : Budgeting

Written exam comprising a few theoretical questions and one exercise.

Work placement(s) :

Organizational remarks :

Part 2 : Budgeting

Course organised under the form of a seminar during +/- 2 weeks, according to the presence in Belgium of the two professors.

Contacts :

Part 1 : Public choices analysis

Professor : B. JURION, Building B31, Room 1/55 - Phone: 04/366.30.47, e-mail: b.jurion@ulg.ac.be
Teaching assistant: J. DENOMERENGE, Building B31, Room 1/57 - Phone: 04/366.30.42, e-mail: jdenomerenge@ulg.ac.be

Part 2 : Budgeting

For any question, please contact Elisabeth Paul : E.Paul@ulg.ac.be