ClassInfo

"Stratification Economics and Public Policy"

PA5022 - Spring 2021

M: 1-3:45 pm

Stratification economics differs from conventional neoclassical economics and its related offspring of behavioral economics because it does not assume that the nature of inequality arises solely via rational choices made in competitive markets. Rather, it posits structural and historical processes that impede the ability of marginalized groups to gain access to markets. One of the key insights from stratification economics is that conventional policy mechanisms (e.g. deterrence policies in the criminal justice system) don't work because they fail to take account of the legacy of inequality (e.g. convict lease systems and vagrancy laws)

The arguments in favor of reparations, baby bonds, universal health care can be viewed and examined using the methods and techniques of stratification economics. This course introduces students to some new methodologies that complement their training in conventional economic analysis.

Topics:

· A review of conventional microeconomic approaches to policy analysis, including the core assumptions and key conclusions

· Summary and critique of the conventional microeconomic approach

· The historical backdrop to the evolution of "identity economics" and stratification economics for understanding racial disparities

· Core assumptions of stratification economics

· Applications: Housing markets and residential segregation; racial profiling; discrimination in labor markets.

· Policy Proposals based on Stratification economics -- reparations, baby bonds, universal income and health payments.

Please note that the previous syllabi listed in ClassInfo cover different topics and do not apply to Spring
2021.

Students in this module will learn to:

understand and critique the main economic rationales for current social insurance programs,

understand trade-offs in the design of social insurance programs between providing risk protection and promoting efficient efforts to avoid losses,

read and evaluate current empirical research on the impacts of social insurance programs

Problem Sets (15%): I will assign three problem sets that cover the material in the first part of the class. You may work in groups on these problem sets, but you must write up the answers in your own. You will receive a grade of check, check minus, or check plus for these problem sets.

In-Class Quiz (25%): There will be an in-class quiz covering the material in the first part of the class.

In-Class Presentations: You will be asked to work in a group to lead class discussion of a current policy reform proposal in the areas of health insurance, unemployment insurance, welfare reform, and social security reform. These presentations will not be graded, but will help guide you in writing your policy memos. Failure to complete one of these presentations can have a negative impact on your grade.

Short policy memos (40%): You will write two short policy memos that present an argument for or against one of the proposals discussed in class. Each memo must be 3-5 pages, double spaced.

Final Group Projects (20%)

Students in this module will learn to:

understand and critique the main economic rationales for current social insurance programs,

understand trade-offs in the design of social insurance programs between providing risk protection and promoting efficient efforts to avoid losses,

read and evaluate current empirical research on the impacts of social insurance programs

Problem Sets (15%): I will assign three problem sets that cover the material in the first part of the class. You may work in groups on these problem sets, but you must write up the answers in your own. You will receive a grade of check, check minus, or check plus for these problem sets.

In-Class Quiz (25%): There will be an in-class quiz covering the material in the first part of the class.

In-Class Presentations: You will be asked to work in a group to lead class discussion of a current policy reform proposal in the areas of health insurance, unemployment insurance, welfare reform, and social security reform. These presentations will not be graded, but will help guide you in writing your policy memos. Failure to complete one of these presentations can have a negative impact on your grade.

Short policy memos (40%): You will write two short policy memos that present an argument for or against one of the proposals discussed in class. Each memo must be 3-5 pages, double spaced.

Final Group Projects (20%)

Students in this module will learn to:

understand and critique the main economic rationales for current social insurance programs,

understand trade-offs in the design of social insurance programs between providing risk protection and promoting efficient efforts to avoid losses,

read and evaluate current empirical research on the impacts of social insurance programs

Problem Sets (15%): I will assign three problem sets that cover the material in the first part of the class. You may work in groups on these problem sets, but you must write up the answers in your own. You will receive a grade of check, check minus, or check plus for these problem sets.

In-Class Quiz (25%): There will be an in-class quiz covering the material in the first part of the class.

In-Class Presentations: You will be asked to work in a group to lead class discussion of a current policy reform proposal in the areas of health insurance, unemployment insurance, welfare reform, and social security reform. These presentations will not be graded, but will help guide you in writing your policy memos. Failure to complete one of these presentations can have a negative impact on your grade.

Short policy memos (40%): You will write two short policy memos that present an argument for or against one of the proposals discussed in class. Each memo must be 3-5 pages, double spaced.

Final Group Projects (20%)

Students in this module will learn to:

understand and critique the main economic rationales for current social insurance programs,

understand trade-offs in the design of social insurance programs between providing risk protection and promoting efficient efforts to avoid losses,

read and evaluate current empirical research on the impacts of social insurance programs

Problem Sets (15%): I will assign three problem sets that cover the material in the first part of the class. You may work in groups on these problem sets, but you must write up the answers in your own. You will receive a grade of check, check minus, or check plus for these problem sets.

In-Class Quiz (25%): There will be an in-class quiz covering the material in the first part of the class.

In-Class Presentations: You will be asked to work in a group to lead class discussion of a current policy reform proposal in the areas of health insurance, unemployment insurance, welfare reform, and social security reform. These presentations will not be graded, but will help guide you in writing your policy memos. Failure to complete one of these presentations can have a negative impact on your grade.

Short policy memos (40%): You will write two short policy memos that present an argument for or against one of the proposals discussed in class. Each memo must be 3-5 pages, double spaced.

Final Group Projects (20%)

Students in this module will learn to:

understand and critique the main economic rationales for current social insurance programs,

understand trade-offs in the design of social insurance programs between providing risk protection and promoting efficient efforts to avoid losses,

read and evaluate current empirical research on the impacts of social insurance programs

It is important that you attend each class and make an effort to participate constructively in class discussion. Repeated absences from classes can have a negative effect on your overall grade.

Problem Sets (15%)

I will assign three problem sets that cover the material in the first part of the class. You may work in groups on these problem sets, but you must write up the answers in your own. You will receive a grade of check, check minus, or check plus for these problem sets.

In-Class Quiz (25%)

There will be an in-class quiz covering the material in the first part of the class.

In-Class Presentations:

You will be asked to work in a group to lead class discussion of a current policy reform proposal in the areas of health insurance, unemployment insurance, welfare reform, and social security reform. These presentations will not be graded, but will help guide you in writing your policy memos. Failure to complete one of these presentations can have a negative impact on your grade.

Short policy memos (40%)

You will write two short policy memos that present an argument for or against one of the proposals discussed in class. Each memo must be 3-5 pages, double spaced.

Final Group Projects (20%)

This course has three objectives: a) to help students develop the skill of being able to read and interpret journal articles and technical reports in the domain of the economics of crime and law enforcement; b) to provide guidance on how to use economic models to analyze racial and ethnic disparities in the criminal justice system; and c) to explore the strengths and weaknesses of the rational choice model for developing policies to address problems of race, crime and law enforcement.

(Please see attached draft syllabus for more details.)

We will discuss materials and energy flows in the context of: a) Economic and human development; b) Resource scarcity, renewability and recyclability, and, c) As a source of environmental pollution, with more than 4 million deaths globally attributable to fuel combustion.

The central questions addressed in this class are:

• How much and what types of material and energy resources support health, wealth and well-being in different parts of the world?

• How do different units of society - consumers, producers, infrastructure providers, and governments (ranging from cities to nations) - make decisions that shape society's material and energy flows?

• What actions and policies could support more sustainable use of energy and resources by these different units?

Students will use an inter-disciplinary approach, integrating core topics from environmental economics, industrial ecology (resource sustainability assessments) and human health risk assessment, in the context of public policy.

1. Producers - specific businesses or industries in the Twin Cities area

2. Infrastructure sectors - energy supply, water supply

3. Consumers - households

4. Governments at the metropolitan/city scales

In addition, graduate students will complete two term papers for graduate credit - one on synthesis across the 4 disciplines; the other on identifying key knowledge gaps in the sustainability science, and priorities to inform action.

30% for two quizzes (15% each) interspersed in the weeks; 30% for weekly homework (first 8 weeks) and group work; and 40% for a hands-on project (either in group or individually, TBD)