PUBLIC FINANCE

The course is among those characterizing the Degree programme in Business Administration and Management. The main aim of the course is to provide an overview of the issues concerning the role of the State in the economy. Emphasis will be placed on theoretical foundations for the economic analysis of government intervention and its funding through taxation. The course also provides tools for the economic analysis of the main current taxes in force in Italy.

1. Knowledge and comprehension skills:
1.1. to understand the motivations of public intervention in the economy and how the collectivity can take into account objectives of equity and efficiency in public choices and in the supply of goods and services;
1.2. to understand how the presence of public goods and externalities influences the choices of economic agents and which tools the State can use to bring the economy back to efficiency;
1.3. to understand the economic effects of taxes;
1.4. to understand the characteristics and the functioning of the main taxes present in the Italian tax system.

2. Applied knowledge and comprehension skills:
2.1. to use social choice models to determine the efficiency and equity of public intervention tools;
2.3. to know how to identify the degree of progressivity and redistribution connected to different taxes;
2.4. to know how to apply and critically evaluate income and consumption taxes.

3. Use of independent judgment:
3.1. to interpret the motivations of public intervention;
3.2. to understand the effects of taxes on agents' economic choices;
3.3. to consider economic issues through analytical methods.

Mandatory priority Exams: see http://www.unive.it/pag/21318/

1. The public sector in Italy
2. Motivations for public intervention
2.1 Welfare Economics and social choice
2.2 Market failures
2.3 Public goods
2.4 Esternalities
3. Public sector revenues
3.1 Taxation theory: general aspects and basic concepts
3.2 Taxation: distributive principles
3.3 Issues in the design of personal income taxation
3.4 Distortionary effects of taxation
3.5 Tax incidence in partial equilibrium analysis
4. The italian tax system
4.1 National taxes
4.2 Regional and local taxes

- H.S. Rosen - T. Gayer, Scienza delle finanze, McGraw-Hill CREATE CUSTOM PUBLISHING, Quarta Edizione 2014 (EDIZIONE RIDOTTA PER CA' FOSCARI).
- P. Bosi - M. C. Guerra, I tributi nell'economia italiana, Il Mulino, Bologna, Edizione 2018.
- The program might be supplemented with handouts during the course available on Moodle.

Suggested readings:
Autori vari, Evoluzione e riforma dell'intervento pubblico, G. Giappichelli Editore, Torino, 2013.

The written test consists of a series of questions in open form, exercises or multiple choice.

- The written test consists of 4 to 6 questions aimed at verifying the learning of concepts and the ability to apply them to concrete cases. There is no oral exam.
- Duration of the written exam: 1h-1: 30h
- Each answer is worth 0 to 10 points depending on the question.
- The final grade of the task is given by the sum of the points obtained in the answers.
- The exam is passed if sum of points is at least 18.
- If the sum of the points exceeds 30 the "lode" will be awarded.
- The questions can be: (i) theoretical, (ii) analytical exercises, (iii) numerical exercises, (iv) multiple choice questions.
Exercises and examples of exam questions with the solutions will be included on Moodle.

The course is organized in:
a) lectures,
b) classroom exercises,
c) individual study.
Students are encouraged to attend classes in an active way, reading the chapters of the book before coming to class and doing the exercises (available on the Moodle platform).

written

This subject deals with topics related to the macro-area "Poverty and inequalities" and contributes to the achievement of one or more goals of U. N. Agenda for Sustainable Development