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According to economists, severe legal sanctions deter violations of the law. According to legal scholars, people may obey law backed by mild sanctions because of norm-activation. We experimentally investigate the effects of mild and severe legal sanctions in the provision of public goods. The...
Persistent link: https://www.econbiz.de/10011408944
Governments increasingly use changes in tax rules to combat evasion. We develop a general approach to point-identify tax compliance along with supply and demand elasticities; identification requires data on prices and quantities before and after changes in tax enforcement and a demand or supply...
Persistent link: https://www.econbiz.de/10014467360
and social norms, and trust. In a preregistered online experiment (n = 1,038), we find that biased institutions reduce …
Persistent link: https://www.econbiz.de/10014321962
We conducted a randomised controlled trial in Indonesia to evaluate the effect of three intervention letters on tax penalty compliance behaviour. Over 10,000 individual taxpayers are randomly assigned to receive either a deterrence, information, or simplification letter, or no letter. Our...
Persistent link: https://www.econbiz.de/10014444191
attempts to increase the severity of punishment will alter the payoff of the individuals involved, leaving unchanged the … the certainty of punishment and the ability of the government to enforce it. …
Persistent link: https://www.econbiz.de/10011544186
This paper studies how the swiftness and delay of punishment affect behavior. Using rich administrative data from … beliefs, as reflected in our survey. Yet, we document large mechanical benefits of swift punishment and provide a theoretical …
Persistent link: https://www.econbiz.de/10014464145
We study how punishment influences conditional cooperation. We ask two questions: 1) how does conditional cooperation … cooperation with punishment which leads to a decrease in conditional cooperation. The power to punish means more responsibility …
Persistent link: https://www.econbiz.de/10011864590
We find experimental evidence that the decision problem of tax compliance changes if subjects ́declarations are not randomly assessed, but is based on their appearance as captured by pictures of their faces, even if the aggregate audit probability does not change. Some subjects may fear that...
Persistent link: https://www.econbiz.de/10009786030
the model's predictions in a laboratory experiment. Because collusive tax evasion involves social interaction, this paper …
Persistent link: https://www.econbiz.de/10010473531
engage in punishment. Analyzing the interplay between types in an additional experiment, we show that pro-social punishers … punishment as well as their relative importance for mitigating social dilemmas. Using a novel strategy-method approach we … identify individual punishment patterns and link them with individual cooperation patterns. Classifying N = 628 subjects along …
Persistent link: https://www.econbiz.de/10011587542