Tuesday-Thursday 8-10 November
Public Policy
Economics I and II and Externalities
Administrative Items for Class
GROUP TWO MEMO DUE NOW!
Announcements?
What is "New & Groovy in Public Policy?"
THE PUBLIC POLICY TOOLKIT
Definitions - What is public policy?
Contexts - What information is needed when making policy?
Models - What are specific ways to analyze policy making?
Federalism - Recognizing Levels of Gov't & Tools Used
Variables - Cause (IND) and Effect (DEP)
Process - Stages of Public Policy
Data Conclusions "Filling In Gaps" and Policy Consistency
Policymaker Types
Lowi Policy Categories
Evaluation - DEALING WITH EXTERNALITIES
EVALUATION ACTIVITIES...
Play in Peoria - Policy Environment in Systems Theory
Indicators - IN ANY policy LIKE HEALTH
Before and After - What policy/contextual event changed things (9.11.01)
Others? _____________
Pre/Post
With v. W/out
Cost/Benefit Analysis NIH and at Berkeley and Law Schools
Symbolic and Tangible Effects
Ratios...
Economic and Tax Policy
America
completely within the economic context, and the incremental model
Theories
Influencing the Policy Environment
GROWTH/RECESSION
(GDP), INFLATION (CPI), UNEMPLOYMENT RATE
Classical
Theory- ‘The Market” Leave
it alone
§
Keynesian Theory – (New Deal) -
Public Policy
§
Supply-Side Economics – Gov’t the Problem, Tax relief Reaganomics
§
Monetary Economics – Money Supply M-1
“The Fed”
America
can be viewed COMPLETELY WITHIN ONE CONTEXT economic with other
contexts only aspects of econ from different perspectives and the incremental
model
Theories
Influencing the Policy Environment
INDICATORS -
Indicators: CPI, Unem, GDP and yours____________________?
GROWTH/RECESSION (GDP)
INFLATION (CPI)
UNEMPLOYMENT RATE
_____________
TUESDAY - Policy Actors in Economics and Choices/Policies/Models
Monetary Policy
Currency + Demand Deposits= M1 & Reserve Deposits=Bank
– The Fed changes the Reserve Ratio for banks…
- Or changes the Discount
Rate for borrowing reserves
-
and changes “the interest rate”
Fiscal
Policy - The FY
2004 Federal Budget
Incrementalism – small % changes from year to year
Bureaucratic Growth/Bloating – or Citizen Service Demands
Biennial and Fragmented (OMB + >>>?)
BUDGETS –
Entitlements/Mandatory v.
Discretionary Spending (PP
155, 157)
DEBT –
5,500,000,000,000 or
$20,000/person in USA NOW Surpluses
THE FY
Budget Making Process – Page 162
| First Monday in February | President submits budget to Congress. |
| February 15 | CBO submits report on economic and budget outlook to Budget committees. |
| Six weeks after President's budget is submitted | Committees submit reports on views and estimates to respective Budget Committee. |
| April 1 | Senate Budget Committee reports budget resolution. |
| April 15 | Congress completes action on budget resolution. |
| June 10 | House Appropriations Committee reports last regular appropriations bill. |
| June 30 | House completes action on regular appropriations bills and any required reconciliation legislation. |
| July 15 | President submits mid-session review of his budget to Congress. |
| October 1 | Fiscal year begins. |
Source: 96-912 GOV A Brief Introduction to the Federal Budget Process by Robert Keith, Specialist in American National Government, Government Division CRS- Congressional Research Service November 13, 1996 http://www.house.gov/rules/96-912.htm#2c
The Actors?
TAX POLICY
Gucci Gulch and
Battling Interest Group Modeling “Run Amok?”
Sources –
p. 169 Avoidance J
and Evasion L
Who pays
taxes – p. 171
Progressive
Regressive
Proportional –
same % of income
Flat
Value Added Tax
– VAT
Sales Tax (TN or
USA)
Laffer Curve –
Disincentive to work
Tax Freedom Day
Special Interest
Groups specifically dealing with Taxes
Industry
Real Estate
Oil/Gas
Wall Street
Charities
Expense Account
Unions
Banks
Autos
Capital Gains
Lobbyists, Tax Reform
and Gucci Gulch
Capital Gains
IRS REFORM!
- YAYAYAYAYAYAY!
NATIONAL BUDGET SIMULATION
In teams of 2 or 3, - click on this link and make the FY05 Budget - good luck!
PS -Can you balance the budget, and still do the things you want to?
Economics and the Environment
SHOULD WE DRILL FOR
MORE OIL IN ALASKA?
Environmental, Economic and Evaluation Policies
Evaluation
Play in Peoria - Policy Environment in Systems Theory
Indicators - IN ANY policy
Before and After - What policy/contextual event changed things (9.11.01)
Others? _____________
Pre/Post
With v. W/out
Cost/Benefit Analysis
Symbolic and Tangible Effects
Ratios...
Theories Influencing a Policy Environment - Continuum of Ideologies
VERY PRO MARKET ______________VERY PRO GOV'T ROLE
Budget Simulation and the Environment...Domestic Policy -- For the Planet
SHOULD WE DRILL FOR
MORE OIL IN ALASKA?
Wrestling
with Group Behavior Evaluation, Economics and and COMPLEX Issue Networks
PUBLIC
CHOICE Theory, Group Theory and Externalities
Q.
What is the price of clean drinking water for our children?