Economics 313 The Economics of Wealth And Poverty Course Information (Spring 2002, W. L. Rayack) Course Description: Who are the very wealthy and how do they acquire their wealth? Why is poverty still with us after three decades of antipoverty programs? What explains rising inequality in the distribution of income? What types of welfare reform are most likely to succeed? These are just a few of the questions that we will be addressing in this course using cross-country comparisons, perspectives from economic history, and the tools of modern-day economic analysis. The problem of scarcity and the question of "production for whom" are basic to the study of economics. Virtually all courses in economics address this topic. Yet few study the distribution of income among households in depth. This course takes a close look at evidence on the existing distribution of income and at the market and non-market forces behind the allocation process. A central topic throughout the course is the role of policy in changing the level of poverty and inequality. Specific topics to be covered include the following: the normative debates surrounding the notions of equality and inequality; analytic tools for measuring and explaining income inequality; determinants of wage income and property income; the importance of inheritance; the feminization of poverty; and policy options for reducing poverty, including labor market solutions and direct income transfers. Prerequisites: Quantitative Methods for Economists and Intermediate Microeconomic Analysis. Texts: Please Purchase the Following Text: Wolff, Economics of Poverty, Inequality, and Discrimination, (South-Western College Publishing, 1997.) Major Texts on Reserve: Bartik, Jobs for the Poor: Can Labor Demand Policies Help? (Upjohn Institute for Employment Research, 2001) Ruggles, Drawing the Line: Alternative Poverty Measures and Their Implications for Public Policy. (Urban Institute Press, 1990)  Course Mechanics: Regular and consistent class attendance is expected. You will need the lecture material in order to write several short (3-page) papers on the assigned readings and in order to successfully complete the term paper. In calculating the semester grade, assignments will be weighted approximately as follows: GRADE = .25(Class participation.) + .40(Short Papers) + .35(Term Paper). The quality of class participation matters more than the number of times that you speak! Quality of participation is based on how consistently you ask insightful questions, provide relevant and informed evaluations of the material, and offer constructive responses to other students during class discussions. Papers will be graded on the basis of both writing style and content. Stylistic sophistication along with analytical strength will matter when I calculate your grade. Close attention to the material along with frequent reference to the required readings will be primary factors in constructing a strong paper. Papers turned in late will be graded down, and papers turned in on time will earn a bonus. Class Time: T/TH. 1:10-2:30 Class Location: To be announced Contact Information: E-mail: wrayack@wesleyan.edu Phone: 685-2358. Office: Public Affairs Center (PAC), Room 327 To W. L. Rayack home page.