Applied Welfare Economics
Learning Outcomes
Students who successfully complete this course will:
•understand the different ways to measure welfare changes for individuals and know how to aggregate them;
•be able to properly interpret compensated welfare changes and know how they relate to actual welfare changes typically isolated in demand-supply diagrams;
•understand how to construct models and use general equilibrium analysis;
•use general equilibrium analysis to evaluate the welfare effects of policy changes in a coherent way and be able to explain the economic intuition for the results;
•be exposed to the applied welfare and public economics literatures and be able to relate the two literatures using conventional welfare economics tools.
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