The paper gives an overview of some main themes in the theory of tax evasion, starting from
Allingham and Sandmo (1972). It reviews the comparative statics of the original model of …

Purpose The purpose of this paper is to explore the association between tax evasion and
financial instability. The discussion also examines the effects of tax evasion for financial …

We examine whether minimum wages can fulfill a useful role as part of an optimal tax-
transfer scheme. The government cannot observe household abilities, only their incomes …

It is now well known that the predictions of expected utility theory (EUT) applied to tax
evasion are quantitatively and qualitatively at variance with the evidence while prospect …

Fairness in the sense of tax equality is a fundamental principle in modern tax systems, which
needs to be protected for various reasons. This has become challenging for tax …

Tax compliance Page 1 Electronic copy available at: http://ssrn.com/abstract=1271168 1
Tax compliance Encyclopedia of Law and Economics Luigi Alberto Franzoni, University of …

Income tax evasion is modeled as a risky activity and integrated into a standard optimal tax
problem in which there is a good whose sales are observable. If the penalty for evasion is …

Tax evasion analysis typically assumes that evasion involves individual taxpayers
responding to some given policies. However, evading taxes could require the collaboration …

Redistribution programs are constrained because those not working may be either unable to
work, voluntarily unemployed or involuntarily unemployed. The inability to distinguish …

We study the effectson tax enforcement and tax policy of unintentional complianceerrors by
taxpayers and administrative errors by tax auditors. The government can impose both …