-The public sector in a mixed economy: The economic role of government, what or who is the government, Thinking like a public sector economist, Disagreements among economists
-Market efficiency: The invisible hand of competitive market, Welfare economics and pareto efficiency, Analyzing economic efficiency
-Market failure: Property rights and contract enforcement, Market failures and the role of government, Redistribution and merit goods, Two perspectives on the role of government
-Efficiency and equity: Efficiency and distribution trade-offs, Analyzing social choices, Social choice in practice, Three approaches to social choices, Alternative measured of inequality- The Lorenz curve, The Dalton-Atkinson measure
-Public goods and publicly provided private goods: Public goods, Publicly provided private goods, Efficiency conditions for public goods, Efficient government as a public good, The leftover curve, Measuring the welfare cost of user fee
-Public choice: Public mechanisms for allocating resources, Alternatives for determining public goods expenditures, Politics and economics
-Public production and bureaucracy: Natural monopoly- Public production of private goods, Comparison of efficiency in the public and private sectors, Sources of inefficiency in the public sector, Corporatization, A growing consensus on government’s role in production
– Externality and the environment: The problem of externalities, Private solutions to externalities, Public sector solutions to externalities, Protecting the environment- The role of government in practice
-Health care: Rationale for a role of government in the health care sector, Reforming health care
-Social Insurance: The social security system, Social security, private insurance and market failures, Should social security be reformed, Reforming social security
– Welfare programs and the redistribution of income:Rationale for government welfare programs, Analysis issues, Welfare reform- integration of programs
-Education: Why is education publicly provided and publicly financed, Issues and controversies in education policy, Aid to higher education, How should public educational funds be allocated

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3. Musgrave, Richard A. 1959. The Theory of Public Finance: A Study in Public Economy, New York: McGraw-Hill
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