SECS-P/01 - 6 CFU - 1° Semester

Teaching Staff


Detailed Course Content

The course introduces students to the fundamentals of welfare economics, which are necessary to the understanding of the mechanisms underlying the implementation of public programs. In this perspective it tackles with the concept of Pareto efficiency, the theorems of welfare economics, the market failures and the social welfare function. It analyses the main aspects of public intervention , through public spending programs and the regulation of the private activities, from both a positive and a normative perspective.

The last part of the course is dedicated to the project investments analysis. It tackles with the dimensions of the cash-flow; the opportunity cost of capital; the drawing up of the alternatives of the investment; the costs of the project. It introduces basic elements of financial mathematics; the concept of net present value (NPV), Internal rate of return (IRR), and other evaluation criteria; the comparison among alternatives.

Textbook Information

Stiglitz J. Economia del settore pubblico, Hoepli, (2004), vol. 1, capp. 1-8; Vol.2, cap. 2; .Marcello Falasco, Enrico Guzzini, Strumenti per la valutazione degli investimenti industriali,2009, capp.2,3,4.

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