This paper studies the issue of tax evasion in the context of the underground economy. A dynamic general equilibrium model is built where individual households and entrepreneurs decide rationally whether to go underground and under-report their earnings. These behaviors affect tax revenues, which are used to finance productive public services. This model is applied to the Czech Republic, becaus...

Human T-cell lymphotropic virus type 1 (HTLV-1) is the causative agent of a chronic progressive myelopathy called tropical spastic paraparesis/HTLV-1-associated myelopathy (TSP/HAM). In this disease, lesions of the central nervous system (CNS) are associated with perivascular infiltration by lymphocytes. We and others have hypothesized that these T lymphocytes infiltrating the CNS may play a pr...

This paper presents evidence that loss aversion affects taxpayers as they file their annual tax returns. I model the decisions of a loss-averse tax filer who may use tax shelters to manipulate the “balance due” exchanged with the IRS. I use this model to derive distinguishing predictions of loss aversion which facilitate its identification and quantification in the field. Under loss framing, th...

Today, the concept of tax compliance has become a common phenomenon in the most countries and identifying the factors which affecting on it, specially internal and psychological factors instead of economic factors, attracted the attention of a large number of researchers in all over the world. So, the purpose of this study is to present a model of tax compliance with the realization approach of...

It is an article of faith – among politicians as well as scholars – that government policies have the potential to influence the extent and nature of economic activity, particularly when policies impede the normal functioning of business. Examples include regulatory regimes that discourage business formation, legal systems and institutions that make it difficult to execute and enforce commercia...

a r t i c l e i n f o JEL classification: F23 H25 Keywords: Corporate taxation International profit shifting Real options FDI The relation between taxation states and foreign direct investment (FDI) has been studied from several perspectives and with states at different levels of development. Most previous studies, however, have only considered the impact of tax level on FDI volume. This paper ...

The recent literature on optimal taxation may be seen as attempting to clarify the structure of the arguments advanced to support changes in the tax system, tracing the implications of taxes and quantifying (analytically) the trade-offs between the various objectives of tax policy. This literature has examined the optimal structure for particular types of taxation taken in isolation, such as th...

Foreign investment has an important influence on a country's economy, it is also considered to be more resilient crises because investors generally have long-term perspective when investing in country. However, the economic crisis Indonesia caused inflow of foreign direct experience drastic decline which led slowdown growth Indonesia. To increase interest again, necessary incentive policy order...