1. Normative Approach to Public Finance

   The Economic Basis for Government Activity; Argument for Equality Between

   Marginal Social Benefit and Marginal Social Cost

2. The Theory of Optimum Budget

   Formulation of an Optimum Budget  Allocation, Distribution and Stabilization.

   Incidence of Budget Policy

3. Principles of Taxation and Government Expenditure

   Benefit Approach, Ability To Pay Principle

   Progressive Taxation  Equality Theory, Surplus-Income Theory, and Socio-Political Theory

4. Developments in Public Goods Theory

   The Lindahl Model of Pareto Optimality; Public Goods and the Free-Riding Problem.

5. Commodity Taxation  Output and Price Effects

   Theory of Tax Incidence

6. Excess Burden of Taxes

   Taxation, Government Expenditure, and Work Efforts; Taxation, Government Expenditure and Savings; Taxation, Government Expenditure, Investment and Risk-Bearing; Taxation and Capital Gains

7. The Burden and Management of Public Debt

   Ricardo-Pigou Thesis; Buchanan Thesis; Musgrave Thesis of Inter-generation Equity.

   General Techniques of Debt Management; Anti-Cyclical Debt Management.

8. Fiscal Policy in Underdeveloped CountriesThe Union-State Fiscal Relations in India

   A Look Into The Indian Tax System

References:

1. Musgrave, R.A, and P.B.Musgrave: Public Finance in Theory and Practice, McGraw-Hill, New York,

(1976)

2. Due, J.F. and A.F. Friedlander: Government Finance, Irwin, Homewood, Illionois, (1973)

3. David N. Hyman: Public Finance: A Contemporary Application of Theory to Policy,

SouthWestern Press, (2010)

4. Jha, R: Modern Theory of Public Finance, Wiley Eastern Ltd., (1987)

5.Eckstein O: Public Finance, New Delhi: Prentice Hall, (1987)

6. Prest, A. R: Public Finance in Developing Countries, London: Weidenfeld& Nicolson, (1985)