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University of Hong Kong
This course applies economic analysis to the study of the relationships between the economy and the state. The market economy does not exist and operate autonomously in a vacuum as is portrayed in most economics writings and courses. This is very misleading and definitely incorrect. The state is the most important actor outside the economy and interacts with it in many different ways, for numerous reasons, and with various consequences.
We examine different conceptions of the role and function of the state in its
relationship with the economy. Arising from these conceptions, the division of labor between the market and the state can be either complementary or competing. We examine the intended and unintended consequences of state actions and consider their implications for the proper role and function of the state in its relationship with the economy.
There are two requirements for this course: (1) coursework is a paper of 1500 words (50%) and (2) a written 2-hour in-class final examination covering everything taught in the course (50%) during examination week.
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