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The pedagogy of tax evasion: Its extent and its determinants

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  • Richard Cebula
  • Chris Paul

Abstract

This pedagogical note develops a model of individual choice and a comprehensible and functionally realistic framework that explains how the size of the underground economy or the extent of aggregate income tax evasion can be estimated. It also describes three models for estimating the size of the underground economy for the U.S. and provides a formal but easily understood analytical model of determinants of the extent of aggregate income tax evasion. The latter model is useful in serving as the basis for empirical estimates of determinants of income tax evasion and is useful in enhancing student understanding economic behavior through student projects. Copyright International Atlantic Economic Society 2000

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  • Richard Cebula & Chris Paul, 2000. "The pedagogy of tax evasion: Its extent and its determinants," International Advances in Economic Research, Springer;International Atlantic Economic Society, vol. 6(4), pages 710-721, November.
    • Handle: RePEc:kap:iaecre:v:6:y:2000:i:4:p:710-721:10.1007/bf02295381
    DOI: 10.1007/BF02295381
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    Cited by:

    1. Bagus, Philipp & Gabriel, Amadeus & Howden, David, 2014. "Causes and Consequences of Inflation," MPRA Paper 79608, University Library of Munich, Germany.
    2. Gemmell, Norman & Hasseldine, John, 2012. "The Tax Gap: A Methodological Review," Working Paper Series 18717, Victoria University of Wellington, Chair in Public Finance.
    3. Gemmell, Norman & Hasseldine, John, 2012. "The Tax Gap: A Methodological Review," Working Paper Series 2435, Victoria University of Wellington, Chair in Public Finance.

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