Answer questions 1, 5, 6, 7 on pages 260-261 of the Economics of the Public Sector text.ECONOMICS OF THE PUBLIC SECTOR
FOURTH EDITION
ECONOMICS
OF THE
PUBLIC SECTOR
FOURTH EDITION
JOSEPH E. STIGLITZ | JAY K. ROSENGARD
n
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Library of Congress Cataloging-in-Publication Data.
Stiglitz, Joseph E.
Economics of the public sector / Joseph E. Stiglitz, Jay K. Rosengard.—Fourth edition.
pages cm
Includes bibliographical references and index.
ISBN 978-0-393-92522-7 (pbk.)
1. Finance, Public—United States. 2. Fiscal policy—United States. I. Rosengard, Jay K. II. Title.
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To our f irst teachers,
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Jordan and Betty
vii
BRIEF CONTENTS
Preface xxvii
PART 1 ROLE AND SIZE OF THE
PUBLIC SECTOR 1
1 DEFINING PUBLIC SECTOR
RESPONSIBILITIES 3
2 MEASURING PUBLIC SECTOR SIZE 26
PART 2 FUNDAMENTALS OF WELFARE
ECONOMICS 59
3 MARKET EFFICIENCY 61
4 MARKET FAILURE 81
5 PUBLIC GOODS AND PUBLICLY PROVIDED
PRIVATE GOODS 101
6 EXTERNALITIES AND THE ENVIRONMENT 129
7 EFFICIENCY AND EQUITY 163
PART 3 PUBLIC EXPENDITURE THEORY 197
8 PUBLIC PRODUCTION OF GOODS
AND SERVICES 199
9 PUBLIC CHOICE 230
viii BRIEF CONTENTS
PART 4 PUBLIC EXPENDITURE IN PRACTICE 267
10 FRAMEWORK FOR ANALYSIS OF
EXPENDITURE POLICY 269
11