Marion, Justin; Muehlegger, Erich - In: Journal of Political Economy 116 (2008) 4, pp. 633-666
This article examines tax evasion in the diesel fuel market. Diesel fuel used for on-road purposes is taxed, while other uses are untaxed, creating an incentive for firms and individuals to evade on-road diesel taxes by purchasing untaxed diesel fuel and then using it for on-road use. We examine...