Econ 477: Political Economics
Fall 2014: MW 2:00-3:15, 3712 HBLL
Instructor
Joseph McMurray
133 FOB; (801) 422-9198
[email protected]
Office Hours
Th. 2:00-3:00pm or by appointment
Description
Political Economics, also called Political Economy, applies the analytical tools of
economics such as constrained optimization, aggregation, and game theory, to model and
evaluate political institutions and incentives. Just as market institutions shape the competitive
efforts of workers and firms, political institutions (e.g. government organization, voting rules,
agendas) shape the competition for political influence of political actors such as presidents,
legislators, voters, and activists.
In Doctrine & Covenants 88:78-79, the Lord tells us to “. . . be instructed more perfectly
in theory, in principle, . . . the perplexities of nations, . . . and a knowledge also of countries and
of kingdoms—that ye may be prepared in all things when I shall send you again to magnify the
calling whereunto I have called you, and the mission with which I have commissioned you”
(Doctrine & Covenants 88:78-79).
Prerequisites
Microeconomics (Econ 110, 380, 382), Calculus (Math 112) and Statistics
(Econ 378). Game theory (Econ 478) is useful but not required.
Optional Text
Mueller, Dennis C (2003). Public Choice III. Cambridge University Press.
(~$60).
This course follows the text only loosely. Readings are helpful, but not
required
Grading
Your final grade will give equal weight to homework, a midterm exam,
and a final exam.
Homework
Homework will consist of ten problem sets, typically due two class periods after we
finish the relevant material, with point values corresponding roughly to difficulty. You may
consult with peers on your homework, but must submit homework individually. Problem sets
are due in class; late assignments suffer a -20% penalty. (Requests for exceptions should be
made in advance.)
Participation
Both to foster active learning, and to assess student understanding, I invite individual
students to answer questions, as well as to pray at the beginning of class. If you prefer not to
participate, please feel free to decline my invitations, or request that I not call on you.
Thanks
Thanks to Martin Osborne (University of Toronto) for sharing materials that were useful
in composing this course.
Schedule (Tentative)
Date Day
Topics
Foundations
Sep 3
W Social Welfare
8
M
Game Theory
10
W Origin of Government
15
M
Redistribution
Direct Democracy
17
W Majority Rule
22
M
Cycles
24
W Voting Rules
29
M
Voting Rules
Oct 1
W Arrow's Theorem
6
M
Spatial Model
8
W Spatial Model
13
M
Turnout Paradox
15
W Swing Voter's Curse
20
M
Review
21-25 T-F Exam 1 (Testing Center)
Representative Democracy
27
M
Agency Models
29
W Pandering
Nov 3
M
Spatial Competition
5
W Spatial Competition
10
M
Entry
12
W Ideology as Opinion
17
M
Multiple Dimensions
19
W Parliamentary Systems
Tiebout Sorting
24
M
26
W Federalism
Dec 1
M
Special Interests
3
W No class (Thanksgiving)
8
M
Dynamics
10
W Review
15
M Exam 2 (7am-10am 274 MARB)
Text
HW
2.1-3
2.4,6-7
3.1-8
1
6.1-6
5.2
7.1-6
7.1-6
24.1-4
5.3-4
5.3-4
14.1-6
-
2
3
4
5
6
-
11.1,3
12.1-6
13.1-7
13.8-11
9.1-5
10.1-5
-
7
8
9
10
-