Shadow economy and tax revenue in Africa
AbstractThe paper explores the effects of shadow economy on tax revenues, in the case of several African countries, based on a panel-model approach. The data-set covers the period 1999-2007. The main results reveal that the shadow economy has a significant and negative impact on tax revenues. In other word, when the shadow economy tends to extend, the level of tax revenues decreases. These outputs show that the African governments, in order to maximise the collected tax revenues, should better “control” the shadow economy phenomenon.
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Bibliographic InfoPaper provided by University Library of Munich, Germany in its series MPRA Paper with number 50812.
Date of creation: 2013
Date of revision:
Shadow economy; Tax revenues; Effects; Implications; Africa;
Other versions of this item:
- H11 - Public Economics - - Structure and Scope of Government - - - Structure and Scope of Government
- H20 - Public Economics - - Taxation, Subsidies, and Revenue - - - General
- H26 - Public Economics - - Taxation, Subsidies, and Revenue - - - Tax Evasion
This paper has been announced in the following NEP Reports:
- NEP-AFR-2013-10-25 (Africa)
- NEP-ALL-2013-10-25 (All new papers)
- NEP-IUE-2013-10-25 (Informal & Underground Economics)
- NEP-PBE-2013-10-25 (Public Economics)
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