Syllabus
Benoît Cœuré and Selma Mahfouz
2012 syllabus with downloadable lectures
2011 archive, downloadable PDF (397 slides): Lessons 1 to 5; Lessons 6 to 9
Level: Graduate. Number of hours: 36. ECTS credits: 5. Teaching is in English and located at Sciences Po Paris.
This course is part of the master "Economics and Public Policy" jointly managed by Ecole polytechnique, ENSAE and Sciences Po.
Overview
This course illustrates how economic theory can shed light on public decision-making and provide a structured approach to some of today’s key economic policy discussions, with a focus on France and the European Union.
Textbook: Economic Policy: Theory and Practice, by Agnès Bénassy-Quéré, Benoît Coeuré, Pierre Jacquet and Jean Pisani-Ferry, released in 2010 by Oxford University Press. French version: Politique Economique, De Boeck, 2010. Note that the two books differ to some extent. In particular, the French version includes a chapter on employment policies which is not in the US version, whereas the latter includes a chapter on the financial crisis that is not in the former.
The course is organized as a seminar and relies heavily on student participation. It is divided into nine classes (see the syllabus). Each of them, except the first one for practical reasons, focuses on a particular policy domain and is divided into two parts:
- A two-hour introductory lecture delivered by the teacher;
- A one-hour-and-a-half conférence de méthode with (1) a presentation by a group of students of a landmark academic paper, and (2) a presentation by another group of students of a topical policy issue.
The rules of the game are the following. There will be groups of three or four, depending on the total number of students. Each group will present a theoretical paper and a policy issue during two different classes. The presentation should last no more than 25 ’ and be supported by a PowerPoint or equivalent handout. It is recommended that each group provides the necessary number of printed copies for the other students and the teacher to take home. All students are expected to participate in the general discussion and will be rated accordingly.
Article presentations
The teachers can provide the articles in case they are not available at the library or on the Internet. In their presentation, students should:
- introduce the article’s background and rationale: new explanation of already-known economic facts, theoretical controversy, access to new empirical data…
- detail the author’s goal and methodology: modeling strategy, main assumptions, outline of the demonstration;
- put the article into perspective, and discuss with a critical mind the significance and originality of the results, the realism of the assumptions, parsimoniousness of the modeling technique, etc.
Policy presentations
They will be rooted in empirical and institutional facts, but they should nevertheless be problematic and make reference to theoretical arguments. You may explain how economic theory and empirical studies have helped shape the policy discussion, or refer to theory to express their own judgment, or both. You will receive in advance a brief reading list with suggested empirical sources and references – but this will only be an indication and original facts and references are much welcome. Particular attention should be given to the data: students are strongly encouraged to produce their own figures rather than cut-andpaste them from the Internet; and they should be able to trace sources and explain the nature and limitations of the data.
Rating
There will be no final exam. Students will be rated against their article and policy presentations. The rate will value the thoroughness and accuracy of the handout, and conciseness and clarity of the in-class presentation. Proper use of the students’ theoretical knowledge will be particularly valued. Marks will be adjusted depending on participation in classes.
