Citizenship and power in an agent-based model of tax compliance with public expenditure
In this paper we present a model of tax compliance with heterogeneous agents who maximize their individual utility based on income and the conjectured level of per capita public expenditure. We formally include psychological drivers in this model. These drivers affect individual behavior, such as risk aversion, together with appreciation of public expenditure, expectations about peers’ compliance and a natural inclination to comply, all of which we summarize in a quality termed “citizenship”. The enforcement system, based on random inspections, is standard and only partially known to agents.
If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
As the access to this document is restricted, you may want to look for a different version under "Related research" (further below) or search for a different version of it.
References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Bernasconi, Michele, 1998. "Tax evasion and orders of risk aversion," Journal of Public Economics, Elsevier, vol. 67(1), pages 123-134, January.
- Gordon, James P. P., 1989. "Individual morality and reputation costs as deterrents to tax evasion," European Economic Review, Elsevier, vol. 33(4), pages 797-805, April.
- Sascha Hokamp & Michael Pickhardt, .
"Income Tax Evasion in a Society of Heterogeneous Agents – Evidence from an Agent-based Model,"
201035, Institute of Spatial and Housing Economics, Munster Universitary.
- Sascha Hokamp & Michael Pickhardt, 2010. "Income Tax Evasion in a Society of Heterogeneous Agents - Evidence from an Agent-based Model," International Economic Journal, Taylor & Francis Journals, vol. 24(4), pages 541-553.
- Hokamp, Sascha & Pickhardt, Michael, 2010. "Income tax evasion in a society of heterogeneous agents: Evidence from an agent-based model," CAWM Discussion Papers 35, Center of Applied Economic Research Münster (CAWM), University of Münster.
- Kirchler, Erich & Hoelzl, Erik & Wahl, Ingrid, 2008. "Enforced versus voluntary tax compliance: The "slippery slope" framework," Journal of Economic Psychology, Elsevier, vol. 29(2), pages 210-225, April.
- Georg Zaklan & Frank Westerhoff & Dietrich Stauffer, 2009.
"Analysing tax evasion dynamics via the Ising model,"
Journal of Economic Interaction and Coordination,
Springer, vol. 4(1), pages 1-14, June.
- Georg Zaklan & Frank Westerhoff & Dietrich Stauffer, 2008. "Analysing tax evasion dynamics via the Ising model," Papers 0801.2980, arXiv.org.
- Pickhardt, Michael & Seibold, Goetz, 2011.
"Income tax evasion dynamics: Evidence from an agent-based econophysics model,"
CAWM Discussion Papers
53, Center of Applied Economic Research Münster (CAWM), University of Münster.
- Pickhardt, Michael & Seibold, Goetz, 2014. "Income tax evasion dynamics: Evidence from an agent-based econophysics model," Journal of Economic Psychology, Elsevier, vol. 40(C), pages 147-160.
- Michael Pickhardt & Goetz Seibold, 2011. "Income Tax Evasion Dynamics: Evidence from an Agent-based Econophysics Model," Papers 1112.0233, arXiv.org.
- Michael Pickhardt & Goetz Seibold, . "Income Tax Evasion Dynamics: Evidence from an Agent-based Econophysics Model," Working Papers 201179, Institute of Spatial and Housing Economics, Munster Universitary.
- Andreoni, J. & Erard, B. & Feinstein, J., 1996.
9610r, Wisconsin Madison - Social Systems.
- Bordignon, Massimo, 1993. "A fairness approach to income tax evasion," Journal of Public Economics, Elsevier, vol. 52(3), pages 345-362, October.
- Pyle, D J, 1991. " The Economics of Taxpayer Compliance," Journal of Economic Surveys, Wiley Blackwell, vol. 5(2), pages 163-98.
- repec:cup:cbooks:9780521876742 is not listed on IDEAS
- Sims, Christopher A, 1980. "Macroeconomics and Reality," Econometrica, Econometric Society, vol. 48(1), pages 1-48, January.
- Michele Bernasconi & Alberto Zanardi, 2004. "Tax Evasion, Tax Rates, and Reference Dependence," FinanzArchiv: Public Finance Analysis, Mohr Siebeck, Tübingen, vol. 60(3), pages 422-, September.
- Stephan Muehlbacher & Erich Kirchler & Herbert Schwarzenberger, 2011. "Voluntary versus enforced tax compliance: empirical evidence for the “slippery slope” framework," European Journal of Law and Economics, Springer, vol. 32(1), pages 89-97, August.
- Cowell, F. A., 1992. "Tax evasion and inequity," Journal of Economic Psychology, Elsevier, vol. 13(4), pages 521-543, December.
- Sandmo, Agnar, 2005. "The Theory of Tax Evasion: A Retrospective View," National Tax Journal, National Tax Association, vol. 58(4), pages 643-63, December.
- Hommes, Cars H., 2006. "Heterogeneous Agent Models in Economics and Finance," Handbook of Computational Economics, in: Leigh Tesfatsion & Kenneth L. Judd (ed.), Handbook of Computational Economics, edition 1, volume 2, chapter 23, pages 1109-1186 Elsevier.
- Korobow, Adam & Johnson, Chris & Axtell, Robert, 2007. "An Agent–Based Model of Tax Compliance with Social Networks," National Tax Journal, National Tax Association, vol. 60(3), pages 589-610, September.
- Myles, Gareth D. & Naylor, Robin A., 1996. "A model of tax evasion with group conformity and social customs," European Journal of Political Economy, Elsevier, vol. 12(1), pages 49-66, April.
- James Alm & Benno Torgler, 2004.
"Culture Differences and Tax Morale in the United States and in Europe,"
CREMA Working Paper Series
2004-14, Center for Research in Economics, Management and the Arts (CREMA).
- Alm, James & Torgler, Benno, 2006. "Culture differences and tax morale in the United States and in Europe," Journal of Economic Psychology, Elsevier, vol. 27(2), pages 224-246, April.
- Matthew D. Rablen, 2010. "Tax Evasion and Exchange Equity: A Reference-Dependent Approach," Public Finance Review, , vol. 38(3), pages 282-305, May.
When requesting a correction, please mention this item's handle: RePEc:eee:joepsy:v:40:y:2014:i:c:p:35-48. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Zhang, Lei)
If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.
If references are entirely missing, you can add them using this form.
If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.
If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.
Please note that corrections may take a couple of weeks to filter through the various RePEc services.