Development of Fiscal Economics during the Decade 1975–85

The largest share of fiscal economics (public finance) literature will continue to be occupied with taxation. Empirical studies of factors determining governmental expenditures will increase, but studies of levels of government services await an awakening of interest in inequalities of distribution among sub-groups. Transfer payment analyses, excepting subsidies, may increase. Part of public goods theory is moving into microeconomics (equilibrium conditions for goods non-excludable but joint over users), and most of externalities theory, into direct regulation. Inter-disciplinary efforts, which call for centralizing library facilities, will especially characterize public choice and fiscal stabilization literature. Journals, staff papers, services, and official reports will multiply more rapidly than will textbooks.