EC3351 Public Finance 2014/15 Semester 1

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Project Briefing (I)
The team project is the avenue for students to examine a subject in greater detail than can
be afforded in lectures and tutorials.
In past semesters, I have had several students tell me that they had benefited greatly from
working on the team project. Not only did they gain expertise on their subject matter, but
they also learned about teamwork, project management, research, writing and presentation
skills. My hope is that this semesters students will earn the same benefits from working
diligently on your projects.
This is Part 1 of a multi-part briefing about the team project, and covers team formation,
choice of topics, and proposal-writing. Part 2 will cover details that are needed for your
presentation and paper writing. For now, know that your team will do a 15-to-20 minute
presentation in front of fellow students circa Week 12, and will submit a 15-18 page paper
in Week 13.
Team Composition
This semester, we have 95 students, including 24 exchange students. We shall have 24 four-
member teams
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, with one and only one member being an exchange student. This will
facilitate the sharing of experiences between our local and exchange students.
Once you have assembled a team, have your team representative email me with your team
composition. You may also provide me with a team name, though this can be done later.
Forming Teams
You need to start looking for fellow team members ASAP! The sooner you get your team
formed, the earlier you can start exploring topics.
Many students find fellow team members at tutorial meetings, though you are not required
to restrict your search to students in your tutorial group. Others connect before lecture, or
use the IVLE Forum. If anyone can suggest easy-to-set-up alternative avenues for students
to contact one another for team formation, please let me know.
Teams should be formed no later than the Wednesday of Week 4.

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Obviously, the last team will break this rule by having only 3 members.
EC3351 Public Finance 2014/15 Semester 1

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Finding Topics
There is a wide scope of topics and policies that fall under Public Finance, understandably
because the subject concerns public policy. Do exercise discretion some topics clearly fall
under Development Economics or Industrial Organization. As a rule of thumb, look for issues
that affect government spending and/or revenue collection.
You may find inspiration from the textbook and lectures, blogs and newspaper articles. Also
look for public policy debates and changes in recent policy.
A projects may be based a theme that recurs in many policy areas, or it can be specific to a
particular policy area. If you are looking at a specific policy area, think about the following
points:
Is there a solid economic rationale for government involvement?
In theory, how best for government to get involved?
If there is an existing policy, evaluate it. If it is found wanting, propose improvements
and argue for them.
If there isnt an existing policy, propose a policy and argue for it.
If there are many policy options adopted by different governments, you may want to
do comparisons.
What tools from Public Economics may be useful for understanding or analyzing this
policy?
Here are some reading recommendations:
Journals (non-technical): The Economists Voice, Journal of Economic Perspectives,
Challenge, Vox Policy Portal (http://www.voxeu.org/).
Newspapers and magazines: The Economist, Straits Times, Project Syndicate, New
York Times, Financial Times.
Blogs: Brad Delongs blog, Economists View, Marginal Revolution, Bluffton Public
Economics, Naked Capitalism. Note that you can look for ideas from blogs, but you
should not rely on them for data.
There are specialized journals in Public Finance such as the National Tax Journal, Public
Choice, and Journal of Public Economics. Students are welcome to look at these, though
there are strong mathematical and econometric skill requirements to understand the
material discussed in the articles published in such journals.
EC3351 Public Finance 2014/15 Semester 1

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Suggested Topics
In the unlikely event that you are starved for topics, here is a quick list of suggested topics
that may be worth looking into (caveat emptor!). You are free to discuss issues for any
economy, though many students understandably look to issues in Singapore.
Peculiarities of the Singapore Governments public finances
Competition between countries on tax policy
Inversion and other tax avoidance strategies by corporations
The One-Percent and the political economy of inequality and redistribution
The case for and against a tax/subsidy on (fill in a chosen activity)
When can reducing inequality enhance economic efficiency?
Political economy of Fiscal Austerity, or of Bank Bailouts
Population ageing how dangerous is it really for public finances?
How should governance be divided between national and local levels in Singapore?
Unemployment insurance and wage insurance in Singapore
Comparing health care systems: Singapore versus another advanced economy
The role of government in taking on risks for citizens
Case studies on privatization lotteries, education, etc.
Cost-Benefit Analysis for a major public spending project (e.g. nuclear power station,
bridge to Riau Islands, electric bus/car and associated infrastructure)
The Project Proposal
Your team will submit a 2-page project proposal (A4 size, size 11 or 12 font, Microsoft Word
or PDF, double spaced) into the IVLE workbin by 5pm on FRIDAY 19 September, which is the
Friday of Week 6.
The proposal will include the following:
1. An outline the topic you have chosen
2. The key questions you want to answer (or hypotheses you want to verify)
3. Your motivation (why you think this topic is important or interesting)
4. At least two references that you will use for your project. These two references
should be substantial pieces of work e.g. country reports written by international
agencies, books, journal articles. They should NOT be blog posts or newspaper
articles.
The proposal will be worth 6 PERCENT of the course score.
EC3351 Public Finance 2014/15 Semester 1

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Project Consultation
To reduce the risk of having your proposal rejected, teams should discuss your topic and
proposal with me before submission. I will allocate additional time in Weeks 5 and 6 for
project consultation, but you are welcome to come in earlier during normal consultation
hours or by appointment.