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End-of-chapter questions

Questions are available for each chapter of the book. They have been designed to help you reflect on what you have learned, to test your knowledge and to provide points for discussion. Click on the links below to access questions for each chapter.

Part I: Introduction
1. The Foundations of Public Sector Theory
2. Market Failures
3. The Fundamental Theorems of Welfare Economics

Part II: Public Expenditure Theory and Policy
4. The Social Welfare Function and the Quest for Distributive Justice
5. Applying the Social Welfare Function
6. Externalities: Theoretical Issues
7. Externalities: Policy Considerations
8. Nonexclusive Goods
9. Decreasing Cost Services: the Natural Monopolies
10. U.S. Transfer Payments: the Public Choice Perspective
11. Practical Issues in Designing Transfers to the Poor
12. Social Insurance: Social Security

Part III: Tax Theory and Policy
13. The Pursuit of Equity in Taxation
14. Applying Ability-to-Pay Principles: Federal Personal Income Tax
15. Taxes and Inefficiency: the Excess Burden of Taxation
16. The Trade-off Between Equity and Efficiency in Taxation
17. Taxes, Transfers, and Private Information
18. Tax Incidence: Theoretical Issues
19. Tax Incidence: Applications

Part IV: Cost–Benefit Analysis
20. Cost–Benefit Analysis

Part V: Fiscal Federalism
21. Fiscal Federalism: the Assignment of Functions among Governments
22. Efficiency and Equity Issues with Mobile Resources
23. Grants-in-Aid