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Public Affairs 4310: State and Local Public Finance

This is a sample syllabus to provide general information about the course and it's requirements. Course requirements are subject to change. This syllabus does not contain all assignment or course detail and currently enrolled students should reference the syllabus provided by their instructor. For a specific syllabus, please email us a request.

Course Overview

3 Credit Hour
Modalities Available: In-Person

 

Public finance in the United States is split between federal, state, and local governments. Much of the time it seems the focus of news and commentary on TV or print is the federal government, federal programs, the federal budget, and federal taxes. However, this focus fails to explain the important role of state and local governments in financing and providing myriad public services that impact our lives daily – e. g. K-12 education, higher education, streets, roads, and highways, public transit, law enforcement, fire protection and emergency services, and parks and recreation. It also fails to show the complex intergovernmental relationships between federal, state, and local governments that provide funding, for instance, to public education, health and welfare, and transportation programs operated by state and local government.

The course provides students with knowledge about the financing of public services by state and local governments and the fiscal relationships between state and local governments and the federal government. Students also develop the ability to apply the techniques of economic analysis to policy issues in state and local finance. The course is divided into four sections. The initial section provides a brief review of microeconomics concepts and analysis that we will use throughout the course, an introduction to the breadth of state and local government finances, and an examination of market failures that necessitate collective action through government. The second section focuses on basic issues relating to the demand for and provision of public services, such as analysis of public service demand, public choice, fiscal federalism, intergovernmental grants, capital investment, and debt. The third section focuses on state and local government revenues from taxes and user charges. The fourth section focuses on program expenditures for K-12 education, health and welfare, transportation, and economic development.

Learning Outcomes

The course contributes to all Glenn College learning goals and objectives related to foundational knowledge in public affairs; competencies in management, leadership, and policy analysis; and developing an appreciation for multiple perspectives in public affairs. In particular, the course focuses on the following objectives at an advanced level (unless otherwise noted): Upon completion of this course, students should understand:

  • Students can examine governmental, financial, economic, legal, and political institutions, and systems that constitute the public and nonprofit sectors.
  • Students can describe and explain public sector policy making and administrative processes.
  • Students can define and address problems in the public and/or nonprofit sectors using analytical tools.
  • Students can communicate effectively via written, oral, and electronic methods in public and/or nonprofit sectors.
  • Students can conduct advanced data analysis to inform decision making in the public and/or nonprofit sectors. (Intermediate level)

Requirements and Expectations

This course may require a text book. Please check your instructor's syllabus for details.

  • In-Class Worksheets (5 points each), 100 points, 11.2%

  • Written Assignments (100 points each), 300 points, 33.3%

  • Problem Sets (200 points each), 200 points, 22.2%

  • Exams (100 points each), 300 points, 33.3%

  • Total 900 points

Students are required to complete worksheets collaboratively in groups during class meetings. The worksheets will contain problems relating to that day’s course content. Worksheets will be distributed at the beginning of class and students will be given time during class meetings to complete the worksheets.

Each student will submit their completed worksheet to the instructor at the end of the class meeting. Worksheets will be scored based on accuracy and completeness of work. Worksheet answer keys will be posted on Carmen after the conclusion of the class meeting. Worksheets will not be accepted after the conclusion of the class meeting. The 2 lowest worksheet grades will be increased to 5 points at the end of the semester.

Students are required to complete 3 written assignments. The written assignments are meant for students to apply the knowledge gained from the weekly course materials, lectures, and in-class activities to real-world public finance problems. These are meant to give you experience writing brief, concise, and informative research memos in response to a request for information from a policy maker or high-level public manager. News and other readings and commentaries as well as a memo template are provided for each of the written assignments.

Each student must prepare a professional memorandum not exceeding 2 pages that explains the key issues relevant to the public finance problem and answers questions posed that require application of knowledge from the course. Students may collaborate to prepare for completing the written assignments, but the final memo must be each student’s original, independent work product. Each assignment includes instructions and a grading rubric to guide student performance. The written assignments must be submitted through Carmen. Due dates for the written assignments are provided below in the Course Schedule and on Carmen. Late submission of written assignments will receive a 10% penalty per day.

Students are required to complete 2 problem sets. The problem sets cover concepts and methods presented in the course readings, in-class lectures, and in-class worksheets prior to Exam #1 and Exam #2. The problem sets must be submitted through Carmen. Due dates for the problem sets are provided below in the Course Schedule and on Carmen. Problem set answer keys will be posted on Carmen. To provide as much time as possible for students to access the answer keys for the problem sets before Exam #1 and Exam #2, late submission of problem sets will receive a 50% penalty per day and will not be accepted after 2 days following the due date.

Students are required to complete 3 exams that are administered in class. Make-up exams will be administered only if arrangements are made by the end of the 3rd week of the semester and scheduled before the day/time the exam will take place. No make-up exams will be administered after the scheduled exam date and time. Failure to make arrangements to take the exam before the scheduled exam date or to take an exam at the scheduled time will result in a grade of zero.

Course Schedule

  1. Why Study State and Local Government Finance

  2. Economics Review I: Demand, Supply & Equilibrium
    Economics Review II: Consumer Preference & Elasticity

  3. Market Efficiency and Market Failure

  4. Demand for State and Local Government Services
    Public Choice Without Mobility: Voting

  5. Guest Speakers
    Public Choice Through Mobility

  6. Organization of Subnational Government
    Intergovernmental Grants

  7. Public Debt and Borrowing Process
    Public Debt Cost

  8. Guest Speaker
    Exam #1

  9. Principles of Tax Analysis I
    Principles of Tax Analysis II

  10. General Sales & Excise Taxes
    Economic Analysis of Sales and Excise Taxes

  11. Individual Income Taxes
    Economic Analysis of Income Taxes

  12. Property Tax
    Economic Analysis of Property Tax

  13. Pricing Government Goods: User Charges
    Exam #2

  14. K-12 Education

  15. Health and Welfare
    Guest Speaker

  16. Transportation
    Economic Development

  17. Exam #3

Previous Instructors Have Included