Tonin, Mirco - In: IZA journal of European Labor Studies 2 (2013), pp. 1-18
fiscal rules in economies where underreporting of earnings is widespread. First, I propose a simple model exploring the … interaction between the minimum wage and underreporting of earnings. Then, I provide supportive evidence by documenting a positive … extent of underreporting of earnings in the economy. The analysis presented in this paper suggests that a high spike in the …