European Public Finance

Aim of the Course:

The course aims at introducing the main public finance issues in the European Union. Students will learn how the revenues of the Union are generated and how they are spent. We will discuss various coordination problems with respect to public debt, taxation and environmental policy. Economic policy is discussed with simple models, which highlight central problems. 

After completing the course, students will have an insight into the central financial policy areas, institutions and regulations of the EU. They will be able to identify and analyse economic policy problems with the help of simple theoretical models.

 

Course Structure:

1. The European Union: History and Institutions

2. The Budget of the European Union

3. Sovereign Debt, Financial Crisis and Fiscal Integration in the EMU  

4. The Europea Debt Crisis and the ESM

5. Towards a Fiscal Union in the Euro Area

6. Tax Competition or Tax Coordination in Europe?

7. Tax Competition vs. Tax Coordination w/ Capital Income Taxes

8. European Climate Policy: Emission Trading and Green Deal   

 

Prerequisites:

Students attending this course should have some basic knowledge in microeconomics. Note: The course language is English.

 

Literature:

Relevant lecture notes will be provided.

 

Grading:

Grading is based on an optional midterm examination, and the mandatory final exam at the end of the semester. The optional midterm exam can only improve (i.e. not deteriorate) the grade from the final exam.