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The Impact of Inequality on the Informal Economy in Latin America and the Caribbean with a MIMIC Model

Takanohashi, Marcos; Ribeiro, Marcel; Schneider, Friedrich - 2023

a MIMIC Base Model using a data set composed by 41 countries in LAC, in which both inequality and total factor … with the literature. When compared with a model using data from 188 countries, inequality has an impact ten-fold higher in … the level of informality. Results suggest the importance of tailored data set selection when modelling IE with MIMIC. …

Persistent link: https://www.econbiz.de/10014377436

Do Public Sector Employment Reductions Promote Informality?

Adam, Antonis; Moutos, Thomas - 2023

Using information from all IMF conditionality programs from 1990 to 2018, we implement a dynamic Augmented Inverse Probability Weighting Regression Adjustment approach to examine the effects of programs, including public sector dismissals, on the size of the shadow economy. The estimated effect...

Persistent link: https://www.econbiz.de/10014377588

Social Preferences and Portfolio Choice

Riedl, Arno; Smeets, Paul - 2013

This paper explores whether social preferences influence portfolio choices of retail investors. We use administrative investor trading records which we link to decisions of the same investors in experiments with real money at stake. We show that social preferences rather than return expectations...

Persistent link: https://www.econbiz.de/10010322996

Optimal Timing in Rotten Kid Families

Faria, João Ricardo; Silva, Emilson C.D. - 2017

In a family context with endogenous timing, multiple public goods and alternative parental instruments, we show that the optimal timing for the sequential-action game played by rotten kids and a parent depends crucially on whether the kids are homogeneous or heterogeneous. For homogeneous kids,...

Persistent link: https://www.econbiz.de/10011615888

On the Impact of Risky Private and Public Returns in the Private Provision of Public Goods - The Case of Social Investments

Freundt, Jana; Lange, Andreas - 2019

We use a laboratory experiment to identify the impact of risk in the private and public dimensions of social investments. In variants of a public good game, we separate the return a subject’s investment generates for herself vs. the return to others. We find a detrimental effect of risk on...

Persistent link: https://www.econbiz.de/10012018149

Gender, Social Value Orientation, and Tax Compliance

D'Attoma, John; Volintiru, Clara; Malezieux, Antoine - 2018

This paper brings an important empirical contribution to the academic literature by examining whether gender differences in tax compliance are due to higher prosociality among women. We conducted a large cross-national tax compliance experiment carried out in Italy, U.K., U.S., Sweden, and...

Persistent link: https://www.econbiz.de/10011957188

Economic incentives and social preferences : a preference-based Lucas critique of public policy

Bowles, Samuel; Polanía Reyes, Sandra - 2009

Policies and explicit private incentives designed for self-regarding individuals sometimes are less effective or even counterproductive when they diminish altruism, ethical norms and other social preferences. Evidence from 51 experimental studies indicates that this crowding out effect is...

Persistent link: https://www.econbiz.de/10010266032

Social preferences, beliefs, and the dynamics of free riding in public good experiments

Fischbacher, Urs; Gächter, Simon - 2008

We provide a test of the role of social preferences and beliefs in voluntary cooperation and its decline. We elicit individuals' cooperation preferences in one experiment and use them as well as subjects' elicited beliefs to explain contributions to a public good played repeatedly. We find...

Persistent link: https://www.econbiz.de/10010273781

Culture and cooperation

Gächter, Simon; Herrmann, Benedikt; Thöni, Christian - 2010

Does the cultural background influence the success with which genetically unrelated individuals cooperate in social dilemma situations? In this paper we provide an answer by analyzing the data of Herrmann et al. (Science 2008, pp. 1362-1367), who study cooperation and punishment in sixteen...

Persistent link: https://www.econbiz.de/10010273873

A note on the design of experiments involving public goods

Graves, Philip E. - 2010

Concern about potential free riding in the provision of public goods has a long history. More recently, experimental economists have turned their attention to the conditions under which free riding would be expected to occur. A model of free riding is provided here which demonstrates that...

Persistent link: https://www.econbiz.de/10010274945

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