Microeconomic Theory and Public Policy

A pile of brightly colored cards from different states, similar to credit cards.

A photograph of a pile of EBT cards from various U.S. states. In session 7, the class discussed anti-poverty initiatives, including food assistance programs. (Image is in the public domain.)


MIT Course Number

14.03 / 14.003

As Taught In

Fall 2016


Undergraduate / Graduate

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Course Description

Course Features

Course Description

This course applies microeconomic theory to analysis of public policy. It builds from the microeconomic model of consumer behavior and extends to operation of single and multiple markets and analysis of why markets sometimes fail. We will study empirical examples to evaluate theory, focusing on the casual effects of policy interventions on economic outcomes. Topics include minimum wages and employment, food stamps and consumer welfare, economics of risk and safety regulation, the value of education, and gains from international trade.

Other Versions

Related Content

David Autor. 14.03 Microeconomic Theory and Public Policy. Fall 2016. Massachusetts Institute of Technology: MIT OpenCourseWare, https://ocw.mit.edu. License: Creative Commons BY-NC-SA.

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