Course content

Local governments are responsible for the majority of service provision in the Scandinavian welfare state. Different countries adopt varying degrees of centralization and decentralization within the public sector, both in terms of responsibility for public tasks and financing. This topic focuses on the relationship between public and private services and the various parts of the public sector. Key themes include the interaction between public and private service provision and incentive challenges in public production. It also encompasses the design of transfer systems, regulation of local taxation, and the division of responsibilities.

Learning outcome

Knowledge

You learn

• about economic interaction between private and public sector

• about economic interaction between central and local governments

• about organization and financing of welfare services and collective goods

• the decentralization theorem, principles for the organization of government sector

• about policies for mechanisms for enhancing efficiency

• about political decisions about centralization and decentralization

Skills

You should be able to

• discuss key theories and models for the organization of the public sector

• analyze a broad set of issues relevant for the relationship between central and local governments

• discuss how the political system evaluates centralization and decentralization

General competence

You should be able to

• read and understand reports and research articles dealing with issues discussed in the course

• use the content of the course in your own academic work like your master thesis

Learning methods and activities

2 hours of lectures every week. The course has compulsory activities. Specific requirements will be announced at the beginning of the term. The term papers can be written as a joint project. The course is not taught every semester. Check courses that are taught at https://www.ntnu.no/econ/valgfrie-masteremner.

Specific conditions

Recommended previous knowledge

Bachelor's degree in Economics

Required previous knowledge

None

Course materials

Announced at the beginning of the term.