There is only limited evidence of how small firms respond to size-based regulations applied in various countries. We study this question by examining the value-added tax (VAT) threshold in Finland. We find sizable bunching of firms in the sales distribution just below the exemption threshold,...

An extensive literature has analyzed the Sarbanes-Oxley (SOX) legislation enacted in 2002, but its social welfare consequences remain controversial. One of the most significant provisions of SOX – auditor attestation of internal controls under Section 404(b) – has been applied only to firms...

We consider a political economy model in which agents have the possibility to hide part of their earnings in order to avoid taxation. Taxation is exclusively used to finance a pension system. If the pension system is implemented, agents in their old age receive a benefit which includes both a...

How to fight petty day-to-day corruption is a question often debated by politicians, by the public and in the economic literature. Early studies have noted that a simple and well-known way to fight day-to-day corruption is to create competition among corrupt officials. This paper shows that even...

To become operational, the African Continental Free Trade Area (AfCFTA) must harmonize Rules of Origin (ROO) across Africa's Preferential Trade Agreements (PTAs) along two dimensions: regime-wide rules and product-specific rules. This paper describes and evaluates these ROO across the major...

The purpose of this study is to examine the relationship between knowledge requirements, complexity of the tax system and tax compliance in Uganda while exploring the indirect effects of compliance costs. The research design was cross sectional and correlational using VAT registered withholding...