Public Economics

This course provides an analytical introduction to public economics with a focus on the institutional and policy landscape of Europe. It examines why governments intervene in the economy and how these interventions differ across countries, with particular attention to taxation, public spending, inequality, market failures, and the structure of the modern welfare state.
‍

Throughout the course, we use examples from the European Union and Central Europe—especially Czechia—to contrast European policy choices with those in the United States. Key topics include the design of social insurance systems, the role of value-added taxation, EU fiscal rules and coordination, the political economy of inequality and redistribution, and the behavioural responses to taxation. We also discuss contemporary issues such as digital taxation, climate policy, and the increasing use of administrative data in tax policy and enforcement.

The course combines conceptual foundations with evidence from recent empirical research and aims to give students a clear understanding of how European public-sector institutions function and how they shape economic outcomes.

‍