This course introduces students to basic concepts in welfare economics to allow an understanding of important economic factors affecting the level of social welfare. The conditions for Pareto optimality, alternative welfare criteria, measures of consumer surplus, optimal income distribution, external effects, public goods, the theory of second best and the basic theory of social choice will be discussed. Students are advised to take ECON2011 before taking this course.
|Dr. WOO Wai-chiu [Course Outline]