Study-unit ECONOMIC POLICY
| Course name | Business administration |
|---|---|
| Study-unit Code | 20704906 |
| Location | PERUGIA |
| Curriculum | Economia dei mercati e degli intermediari finanziari |
| Lecturer | Marcello Signorelli |
| Lecturers |
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| Hours |
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| CFU | 6 |
| Course Regulation | Coorte 2021 |
| Supplied | 2023/24 |
| Supplied other course regulation | |
| Learning activities | Affine/integrativa |
| Area | Attività formative affini o integrative |
| Sector | SECS-P/02 |
| Type of study-unit | Obbligatorio (Required) |
| Type of learning activities | Attività formativa monodisciplinare |
| Language of instruction | Italian |
| Contents | The course of Economic Policy aims to provide the analytical tools of the fundamental theory of economic policy along with concrete applications related to the European and Italian economic policies in the new global context, also referring to pandemic impact and the following developments. |
| Reference texts | Due libri di riferimento: MARELLI E. e SIGNORELLI M. (2022) “POLITICA ECONOMICA – Le politiche dopo la grande recessione e lo shock pandemico”, Giappichelli Editore, Torino. Montesi C. (2016), Civil Economy Paradigm. Historical roots and new horizons, Umbria Volontariato Edizioni, Terni. Montesi C. (2019), La forza del dono, in Casucci M. (2019) (a cura di), Economia e beni relazionali. Tra desideri e realizzazione dell’uomo, Orthotes, Napoli-Salerno, pp.139-158. |
| Educational objectives | The course of Economic Policy aims to provide the analytical tools of the fundamental theory of economic policy along with concrete applications related to the European and Italian economic policies in the new global context. The student will be able to assess the costs and benefits of different policy options in the new European and global scenario. He will acquire both theoretical knowledge and, above all, an ability to analyze the empirical evidence and critically discuss the different possible policy options. |
| Prerequisites | A good knowledge of Macroeconomics is necessary. |
| Teaching methods | face-to-face |
| Other information | As for additional information please visit the Unistudium web platform dedicated to this specific course. The course provides the contents required for the discipline by Ministerial Decree 616/2017 for the purpose of obtaining the 24 ECTS required for teaching |
| Learning verification modality | Oral exam. Erasmus students can use Italian or one of the following languages: English, French, Spanish. More details are included in the Unistudium platform, in a section dedicated to this specific teaching. |
| Extended program | Part I: Models, theories and policies 1. Political economy and economic policy. The macroeconomic models 2. Theory of economic policy 3. Type of economic policies 4. The Keynesian economic policies 5. Public intervention in economy: theory and empirical evidence 5.1 Market failures and government intervention 5.2 Theories on the secular expansion of the public sector 5.3 The schools of "public choice" and the "supply-side economics" 5.4 The expansion and reduction of the public sector 5.5 The weight of the public sector: evolution and comparisons Part II: The role of economic policies 6. Unemployment and the labor market 6.1 Unemployment, cycle and growth 6.2 Indicators of the labor market 6.3 The Okun's Law: the link between unemployment and income 6.4 Frictional and structural unemployment 6.5 Unemployment, rigidity in the labor market and eurosclerosis 6.6 The models insider-outsider, the efficiency wages and the theory of hysteresis 6.7 Labour costs, wages and productivity 6.8 The evolution of the institutions of the labor market 7. The monetarists and the debate on stabilization policies 7.1 The monetarist school and debate with Keynesians 7.2 The Keynesian extreme cases 7.3 The monetarist extreme case and the quantity theory of money 7.4 The monetary policy, according to Keynesians and monetarists 7.5 Fiscal policy, according to Keynesians and monetarists 7.6 Effects crowding and wealth effects 7.7 Delays of economic policy and the permanence of the effects over time 7.8 The stabilization policies: effectiveness, objectives, rules and discretion 8. Inflation and disinflationary policies 8.1 Inflation: costs and benefits 8.2 The Phillips curve 8.3 The monetarist vision and the absence of trade-off in the long run 8.4 The disinflationary policies: the role of money 8.5 Incomes policy and wage negotiations 8.6 Effects of the rigidity of the price: the New Keynesian Economics 8.7 The hyperinflations and fiscal drag 9. Rational expectations and the credibility of economic policies 9.1 The New Classical Macroeconomics 9.2 Rational expectations 9.3 The supply curve à la Lucas and the real effects of the forecasting errors 9.4 Implications of economic policy and the "Lucas critique" 9.5 The Ricardian equivalence 9.6 The role of strategic interdependence 9.7 The time inconsistency of economic policy 9.8 Credibility, rules and institutions Part III: Monetary policy and fiscal policy 10. Monetary policy: objectives, strategies and theories on central banking 10.1 The independence of central banks 10.2 Final objectives of monetary policy and types of conservatism 10.3 Intermediate objectives, monetary policy strategies and seigniorage 10.4 monetary policy instruments and the Taylor rule 11. Fiscal policy, the sustainability of public debt and return policies 11.1 Fiscal policy and public deficits 11.2 Deficit, debt and "risk premiums" 11.3 The public debt sustainability 11.4 Public debt and return policies: the Italian case 11.5 Financing monetary, interest rate policy and debt management 11.6 Primary budget, real growth and progression of fiscal consolidations 11.7 Public budget and planning documents in Italy 12. Macroeconomic policies in an open economy Part IV: The world economy: growth and globalization 13. Growth and development in the world 13.1 Growth and development from a historical perspective 13.2 Problems and development policies 13.3 Development indicators and groups of countries 13.4 The Bric: growth, structure and policies of four emerging economies 14. Globalization and trade policies in an open economy 14.1 Globalization: historical stages and drivers 14.2 Liberalization, financialization and "global imbalances" 14.3 The internationalization of business and the effects of globalization on mature countries 14.4 Evolution of world trade 14.5 Theories of international trade and trade policies 14.6 Trade policies: instruments and evidence 14.7 International bodies: from GATT to WTO Part V: The European economic integration 15. The process of EU integration: the customs union to the single market. The EU budget 15.1 The EU enlargements, the subsequent treaties and institutions 15.2 The customs union, competition policy and the Structural Funds 15.3 The Single Market and the four liberalization 15.4 Structure and evolution of the EU budget 16. The Maastricht Treaty and the European "economic and monetary union" 16.1 The European Monetary System 16.2 The Treaty of Maastricht and convergence criteria 16.3 Theory of Optimum Currency Areas: Benefits and costs of monetary unions 16.4 Shock asymmetric and insurance systems 16.5 The EMU is an OCA? Part VI: The economic policies in the eurozone 17. The ECB and European monetary policy 17.1 The ECB, organs and characteristics 17.2 The inflation target and the two pillars of monetary strategy 17.3 Instruments of monetary policy and the degree of activism of the ECB 17.4 An assessment based on macroeconomic performance 17.5 The dispersion of inflation and the exchange rate 17.6 The crisis and unconventional operations 17.7 The new supervisory bodies and the European banking union 18. Rules on the financial statements: stability and growth pact, Fiscal Compact 18.1 Default Risk and rules on the budgets in a monetary union 18.2 The "Stability and Growth Pact" and its reforms 18.3 The crisis and the new rules for the Eurozone (Fiscal Compact) 18.4 Policies of austerity and stagnation: how to get out? 19. The financial crisis, the sovereign debt crisis and the EU's responses 19.1 The crisis in the US: the subprime mortgages and the bursting of the bubble 19.2 The spread of the crisis and the Great Recession 19.3 The policy responses in different countries of the world 19.4 The sovereign debt crisis and the characteristics of the "PIIGS" 19.5 The EU and uncertain policy answers 19.6 The proposals for Eurobonds and greater European integration The economic impact of pandemic and the economic policy responses. Montesi C. (2019), La forza del dono, in Casucci M. (2019) (a cura di), Economia e beni relazionali. Tra desideri e realizzazione dell’uomo, Orthotes, Napoli-Salerno, pp.139-158. The essay “The power of gift” demonstrates how gift paradigm is able to permeate many moments of people lives and how it is at work even in the sphere of State and in the sphere of Market. The importance of gift for Market has been highlighted by Civil Economy which criticizes the approach of neoclassical economy which hypothesizes the clear break between economy and community and which postulates, as its anthropological archetype, the paradigm of “homo oeconomicus”, a subject that is portrayed as a purely individualistic and selfish agent. Gift, according to the perspective of Civil Economy which has a less reductionist view of human being, favors social cohesion and “good society” makes easier the birth and the functioning of the Market which, thanks to this background, assumes a more human, inclusive and environmentally sustainable aspect. Montesi C. (2016), Civil Economy Paradigm. Historical roots and new horizons, Umbria Volontariato Edizioni, Terni. The book analyzes the foundations of Civil Economy (relational goods, social capital, relational gift, principle of reciprocity); its historical roots (Benedictine and Franciscan monasticism; Civil Humanism; Italian Enlightenment with a particular focus on the figure of Antonio Genovesi, exponent of the Neapolitan Enlightenment and father of Civil Economy); its anthropological archetype (homo reciprocans); the reasons for the decline of the Civil Economy in favor of English Political Economy of the nineteenth century; the definitive decline of Civil Economy with the advent in twentieth century of Economic Science by neoclassical economists; the causes of the rediscovery of the Civil Economy in the contemporary world; the Manifesto of Civil Economy (principles, method, boundaries); the current components of Civil Economy: the galaxy of civil society organizations, organizational hybrids disciplined by Italian norms, “civil” enterprises (starting from the unsurpassed example of Adriano Olivetti); the implementation of concrete forms of collaboration between the “civil” profit world and non-profit world (generativity of common projects, new forms of osmosis). |