Welfare economics

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  • (BQ) Part 2 book "Microeconomics" has contents: Monopoly, oligopoly and strategic interaction, game theory, fame theory, factor supply, the exchange economy, general equilibrium with production, welfare economics, economics of information,... and other contents.

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  • “Social Welfare” offers, for the first time, a wide-ranging, internationally-focused selection of cutting-edge work from leading academics. Its interdisciplinary approach and comparative perspective promote examination of the most pressing social welfare issues of the day. The book is divided in three sections.

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  • The purpose of this book is to offer a unifying conceptual framework for the normative study of taxation and related subjects in public eco- nomics. Such a framework necessarily begins with a statement of the social objective, taken here to be the maximization of a conventional social welfare function, and then asks how various government instru- ments are best orchestrated to achieve it. The structure is built on the foundation provided by the fundamental theorems of welfare econom- ics.

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  • Recently public attention has turned toward the intricate interrelation between economic growth and global warming. This book focuses on this nexus but broadens the framework to study this issue. Growth is seen as global growth, which affects the global environment and climate change. Global growth, in particular high economic growth rates, implies a fast depletion of renewable and nonrenewable resources. Thus the book deals with the impact of economic growth on the envi- ronment and the effect of the exhaustive use of natural resources as well as the reverse linkage.

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  • Over the past 20 years, with the reform policy called Doi Moi comprehensively applied to the economy, Vietnam has achieved great results in her economic development process. High rate of economic growth with average of 7-8% per annum sustained for almost nearly two decades has contributed to considerable increase in per capita income, from 180 USD in early 1990s to nearly 1,200 USD in 2010. With the considerable increase in per capita income, there was the improvement of the people’s general welfare.

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  • Having thus introduced the papers collectively, let me also say something about them individually, thereby giving some sense for which kinds of economists might find which papers especially interesting. Akerlof and Kranton’s paper has clear links to both labor economics and organizational economics, and also more broadly to behavioral economics.

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  • In this chapter, you will: Examine the link between buyers’ willingness to pay for a good and the demand curve, learn how to define and measure consumer surplus, examine the link between sellers’ costs of producing a good and the supply curve, learn how to define and measure producer surplus, see that the equilibrium of supply and demand maximizes total surplus in a market.

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  • In this chapter you will: Learn the nature of an externality, see why externalities can make market outcomes inefficient, examine how people can sometimes solve the problem of externalities on their own, consider why private solutions to externalities sometimes do not work, examine the various government policies aimed at solving the problem of externalities.

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  • This chapter distinguish between the Pareto and Bergson criteria for a welfare improvement, discuss Nozick’s entitlement theory and its relevance to the recent history of South Africa, explain how a redistribution of income can be justified in terms of the theory of externalities, distinguish between the cardinal and ordinal social welfare functions, discuss the efficiency implications of policies aimed at redistributing income from rich to poor people.

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  • In this chapter: Distinguish primary from secondary income distribution, understand the redistributive impact of the budget on secondary income distribution, explain the calculation of a Gini coefficient, identify the excess burden of a subsidy, show how a subsidy could be welfare-enhancing if there are positive externalities associated with consumption of certain goods (e.g. Food for the poor),...

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  • Chapter 3 - Labour supply and public policy. The main contents of this chapter include all of the following: Labour supply factors, government transfer programs, welfare programs, workers compensation, child-care subsidies,...and other contents.

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  • Whether the economy can successfully create enough jobs for welfare workers is yet to be seen. The existence of discriminatory practices, particularly in labor markets, compounds the problems of poverty. The groups with the highest rates of poverty, black families and those headed by a female, are also groups that are susceptible to being victims of discrimination. This chapter provides knowledge of poverty and discrimination.

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  • The creation of the North American Free Trade Agreement and the World Trade Organization stepped up the controversy between protectionists and free traders. Protectionists argue that imports should be limited to reduce foreign competition with goods produced in the United States, to remedy balance of trade and balance of payments problems, and to encourage U.S. industries vital to national security and economic welfare.

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  • Chapter 14 - Monopoly and monopolistic competition. After reading this chapter, you should be able to: Summarize how and why the decisions facing a monopolist differ from the collective decisions of competing firms; determine a monopolist's price, output, and profit graphically and numerically; show graphically the welfare loss from monopoly; explain why there would be no monopoly without barriers to entry.

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  • Chapter 14 - Monopoly, in this chapter you will learn: Why monopolies exist and how they cause barriers to entry? Why monopolists are constrained by demand? How monopolists set price and quantity? What social welfare losses are associated with monopolies?....

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  • Chapter 15 - Monopolistic competition and oligopoly. In this chapter you will learn: What the features of oligopoly and monopolistic competition are? How to calculate the short‐run and long‐run profit‐maximizing price and quantity for a monopolistically competitive firm? What the welfare costs of monopolistic competition are?...

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  • Chapter 17 - International trade. In this chapter you will learn: What the definition is and root causes of comparative advantage? How to determine whether a country will become a net‐importer/exporter of a good? How to calculate change in surplus under trade? What the effects of tariffs and quotas are on quantity, price, and welfare?...

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  • Chapter 5 - International trade and economic growth. After completing this chapter, students will be able to: Extend the analysis of trade beyond the traditional static models of international trade and analyze the relationship between international trade and economic growth; show how the power of compounding makes international trade’s effect on economic growth much more important for human welfare than the static gains in welfare; familiarize students with the recent statistical evidence on the relationship between trade and economic growth;...

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  • Chapter 7 - Why do countries restrict foreign trade? After completing this chapter, students will be able to: Review the partial equilibrium, general equilibrium, and growth models and distinguish the distribution of the welfare gains and losses from international trade, explain the strategic trade and infant industry arguments for protection, distinguish the assumptions that must be satisfied for the strategic trade and infant industry arguments for protection to be valid.

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  • Chapter 9 - Discrimination trade policies: Free trade areas and anti-dumping protection. After completing this chapter, students will be able to: Show that there are contradictory clauses in the GATT, the most glaring of which are the exceptions to the most favored nation clause; explain how trade creation and trade diversion make the welfare effects of a trade bloc theoretically ambiguous; familiarize the student with several recent regional integration schemes, including the EU and NAFTA;...

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