Reference no: EM133117326

In this homework, you are asked to apply the principles of public finance to the case of education. Applying the principles of public finance, why should or should not the governments play a role in education more than the way it is now? (Please keep in mind, this assignment is NOT an opinion survey. It is an analytical assignment where the principles of public finance must be applied in your argument.) The key assumption is that if the issue exhibits signs of market failure then it may provide reasons for government roles. Sample questions to ask include but not limited to:

Is education a public good?

Is the education industry a natural monopoly?

To what extent does the education market have information asymmetry?

To what extent does the education issue exhibit externality?

*You may explain the extent to which the government should play a role, depending on many factors, such as the level of education, public school versus vouchers for charter schools, standardized test and etc. The key is to analyze this issue from the perspective of the principles of public finance and see whether government provision of education is warranted, or to what extent.