How to Navigate This Book

Economic Policy Playbook is designed to be accessible, easy to navigate, and a valuable resource for students to explore various aspects of economic policy analysis. The book can be approached in different ways depending on your interests and needs.

Structure: The book is divided into four main parts:

Part I: Setting the Field: Foundations of Economic Policy Analysis

This introductory section establishes the theoretical foundations and historical context of economic policy analysis. It explores the diverse origins of economic thought across cultures, explains why governments intervene in economies, and introduces the key frameworks that inform policy decisions. These chapters provide essential context for both newcomers to the field and experienced analysts seeking a broader perspective.

Part II: The Offensive Playbook: Strategies for Policy Incentives

Here we examine the primary tools governments use to shape economic behaviour. Chapters cover regulatory approaches that establish rules and standards, market-based mechanisms that harness price signals and competition, and behavioural insights that leverage psychological understanding of decision-making. This section equips readers with a comprehensive toolkit for designing effective policy interventions across diverse contexts.

Part III: The Defensive Playbook: Tactics for Policy Analysis

This section delves into the analytical methods used to evaluate policy effectiveness. From traditional Cost-Benefit Analysis to Multi-Criteria frameworks and Economic Impact Assessment, these chapters provide step-by-step guidance on applying each approach. The section also covers evaluation techniques and risk analysis, offering practical frameworks for measuring policy outcomes and managing uncertainty.

Part IV: The Game Plan for Economic Policy Analysis in the Real World

Moving from theory to application, these chapters present comprehensive strategies for integrating policy incentives with analytical tools. Through decision trees and case studies, readers learn to select the most appropriate approaches for specific policy contexts. This section bridges the gap between academic understanding and practical implementation in complex real-world settings. It finishes with cutting-edge developments and future directions in economic policy analysis.

Suggested Reading Paths:

For those interested in economic concepts: Focus on Parts I, II, and IV

For practically oriented readers: Concentrate on Parts I and IV

For technically minded readers new to economic policy analysis: Prioritise Parts I, III, and IV

Throughout the book, you’ll find practical case studies and insights that contextualise economic ideas in real-world scenarios. Each chapter includes references for further exploration, and a comprehensive reference section at the end of the book provides additional resources for deeper study.

Key Features:

  • Case studies and practical examples
  • In-text references for immediate follow-up
  • Comprehensive reference section for extended research
  • Flexible structure allowing for various reading approaches

Whether you’re reading cover-to-cover or focusing on specific sections, this book aims to provide a thorough understanding of economic policy analysis, catering to diverse learning styles and interests.

Examples and Cases at a Glance

The book draws on examples and case studies from across the globe. The table below maps each named example or box to its country or region, and the policy theme it illustrates.

Example / Case Study

Country / Region

Theme

Box 1.1: Economics Was Not Born by Western Thinkers

India, China, Africa, Indigenous Australia

History of economic thought

Arthashastra and ancient policy systems

India (Kautilya, c. 300 BCE)

Origins of economic statecraft

Box 2.1: The “Free Market” Fallacy

Western economies; Singapore

Mixed economies / government intervention

EU Emissions Trading System (ETS)

European Union

Carbon markets / externalities

Japan Shinkansen; EU transport corridors; Australia NBN

Japan, EU, Australia

Public goods / infrastructure

Australia food labelling laws (FSANZ)

Australia

Information asymmetry / consumer regulation

Nordic welfare model (happiness rankings)

Sweden, Denmark, Norway, Finland

Social well-being / fairness

Norway sovereign wealth fund

Norway

Intergenerational fairness / fiscal policy

Australia Medicare (1984)

Australia

Universal healthcare / outcome fairness

Sweden carbon tax (1991)

Sweden

Environmental taxation / fiscal tools

Box 2.2: Central Bank Digital Currencies

Nigeria, Bahamas, Jamaica, China, Australia

Monetary policy / digital finance

Bank of Japan yield curve control

Japan

Unconventional monetary policy

Box 3.1 / 3.2: EU Digital Services Act (GDPR)

European Union

Digital regulation / innovation

Germany Energiewende (energy transition)

Germany

Environmental regulation / energy

Singapore workplace safety overhaul

Singapore

Regulation / occupational health

India medical regulation

India

Health regulation / information asymmetry

Box 4.1: Australia carbon price repeal

Australia

Market-based instruments / political economy

Sweden carbon tax (long-run impact)

Sweden

Carbon pricing / emissions reduction

India solar power subsidy (Jawaharlal Nehru Mission)

India

Renewable energy subsidies

New Zealand fishing quota management system

New Zealand

Tradeable permits / fisheries

Chile’s Universal School Voucher System

Chile

Market-based instruments / vouchers

Box 5.1 / 5.2: UK pension auto-enrolment

United Kingdom

Behavioural nudge / retirement savings

Australia compulsory superannuation

Australia

Retirement savings / default design

Kenya M-Pesa mobile money defaults

Kenya

Financial inclusion / behavioural design

Reducing Household Water Consumption (Costa Rica)

Costa Rica

Nudge/ behavioural redesign

UK organ donation opt-out experiment (2013)

United Kingdom

Default nudge / public health

Box 6.1: Cost-Benefit Analysis Gives You the Right Answer

United Kingdom

Cost-benefit analysis / methodology

Box 6.2: Australia carbon price CBA

Australia

CBA / environmental policy

Box 6.3: PFAS regulation CBA

United States

CBA / health and environment

Erasmus+ programme evaluation

European Union

CBA / education policy

Box 7.1: Delhi Metro MCA

India

Multi-criteria analysis / urban infrastructure

Box 7.2: Dutch flood risk management MCA

Netherlands

MCA / climate adaptation / water

Box 8.1: Tourism economic impact assessment

Canada

Economic impact assessment / tourism

Box 8.2: Indigenous economic impact assessment

Australia

EIA / indigenous communities

Box 9.1: Oregon Medicaid randomised trial

United States

RCT / health policy evaluation

Box 9.2: UK tax-benefit microsimulation model

United Kingdom

Microsimulation / tax-benefit policy

Box 9.3: Introduction of the euro (DiD analysis)

European Union

Difference-in-differences / monetary union

Box 9.4: Communities for Children programme

Australia

Process evaluation / social programmes

Box 10.1: ECB climate risk stress testing

European Union

Risk analysis / climate finance

Box 10.2: IMF World Economic Outlook

Global

Macroeconomic forecasting / risk

Box 10.3: Sustainable tourism development

New Zealand

Risk and reward / environmental policy

Box 10.4: British Columbia carbon pricing

Canada

Carbon pricing / policy design

Box 11.2: Bhutan Gross National Happiness

Bhutan

Alternative welfare metrics / policy design

Box 12.1: Automated unemployment benefits (COVID)

United States

Digital policy / algorithmic bias / equity

Box 12.2: Portugal drug decriminalisation

Portugal

Harm reduction / evidence-based policy

Box 12.3: Finland Universal Basic Income trial

Finland

Social policy / UBI / experimentation

Box 12.4: South Korea Green New Deal

South Korea

Green economy / climate / industrial policy

 

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Economic Policy Analysis Playbook Copyright © 2026 by University of Canberra is licensed under a Creative Commons Attribution 4.0 International License, except where otherwise noted.