1,720,995 research outputs found
Regional variation in tax compliance and the role of culture
Full text linkThis research note analyzes the role of culture on individuals’ tax compliance by focusing on regional differences within a single country: Italy. Southern Italy has long been a focus of research interest, not only for its high rates of tax evasion, but for a host of other social and political ills, all usually attributed to regional culture. Our laboratory tax compliance experiment, conducted in provinces of the northern and southern regions, reveals that taxpayers in the north and south generally behaved alike both in terms of average compliance rates and individuals’ sensitivity to
changes in tax structures—except for lower responsiveness to greater redistribution of tax revenues among subjects in Salerno than those in Bologna. This suggests the limited explanatory power of culture in tax compliance in favor of institutional explanations
Injurers versus Victims: (A)Symmetric Reactions to Symmetric Risks
Full text linkTort models assume symmetry in the behavior of injurers and victims when faced by a threat of liability and a risk of harm without compensation, respectively. This assumption has never been empirically validated. Using a novel experimental design, we study the behavior of injurers and victims when facing symmetric accident risks. Experimental results provide qualified support for the symmetric behavior hypothesis
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Are Individual Care Investments Affected by Past Accident Experiences?
Full text linkIn this paper, we analyze the impact of past accident experiences on
individual care choices. By relying on standard economic theory and evidence of
behavioral economics and psychology, we posit that individuals’ care investments
should be affected by their past accidents as injurers or victims (accident-history
effect hypothesis), or by their prior exposure to accident risks in the opposite role
(role-reversal effect hypothesis). We test these two hypotheses using experimental
data. We find that individuals’ accident history has no statistically significant
effect on their care investments, but that care decisions vary with changes in the
parties’ roles. Specifically, injurers with prior experience as victims invest statistically
more in care than injurers without prior victim experience. By contrast, care
investments are not sensitive to victims’ prior experience as injurers. Our research
can be regarded as a preliminary study toward the understanding of the role of past
accident experiences on individuals’ care behavior, and calls for both replication
efforts and reconsideration of traditional economic models of torts
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Second, But Not Last: Competition with Positive Spillovers
Full text linkThis paper extends the traditional rent-seeking model to consider contests in which the effects of the contestants’ efforts are externally unproductive (i.e., redistributive) but internally productive (i.e., with positive spillover effects on other contestants). Our results show that when players act sequentially, the presence of positive spillovers on other contestants may reduce, or even reverse, the first-mover’s advantage. A second-mover advantage is very likely to arise. Notably, in contests with multiple players, the second-mover advantage does not unravel into a last-mover advantage. Players want to be second, but not last. The comparative statics analysis shows how the strength of positive spillovers affects contestants’ equilibrium expenditures and payoffs, and aggregate rent dissipation
Social norms on unethical behaviors in the workplace: a lab experiment
Full text linkWe analyze social norms on unethical behaviors in the workplace using a laboratory experiment. We conducted a norm-elicitation experiment in which we considered two unethical actions as observed in an earlier behavior experiment by Amore et al. (J Bus Ethics 183:495–510, 2023): leaders’ and workers’ untruthful reporting, and workers’ misalignment with their leader’s truthful reporting. We presented participants with Amore et al.’s (2023) background: in experimental firms (1 leader and 3 workers), each member can report their performance via automatic or self-reporting, where the latter allows for profitable and undetectable earnings manipulation. Using the Krupka–Weber procedure, we asked participants to assess the social appropriateness of the reporting decisions that the subjects in Amore et al. (2023) could have taken. We find prevailing norms against self-reporting for artificial profit inflation, and workers’ self-reporting when the leader used automatic reporting. Yet, despite these norms, many subjects in the previous experiment engaged in such unethical misreporting for personal gain. These findings reveal a disconnection between the prevailing social norms and the observed unethical behaviors
Tax challenges in the digital era
No full textThe advent of the digital economy has boosted productivity through greater efficiency in production processes and information exchanges. Despite its promise, digital economy is posing many tax challenges due to the high mobility of capital and taxpayers and the numerous cross-border transactions. Although several international initiatives have been proposed, clear tax regulation is yet to be defined. This uncertainty has encouraged aggressive tax planning mechanisms (e.g., base erosion and profit shifting), generating distorting effects on the market, which have favored multinationals while putting a greater tax burden on small- and medium-sized enterprises. After an overview of the main tax challenges in the digital era, this study discusses some key - yet underexplored - determinants of aggressive tax planning by reviewing selective contributions in the economics literature. This study offers both policy insights for taxation of the digital economy and directions for future, mostly empirical and experimental research
Do women always behave as corruption cleaners?
Full text linkWe use experimental data to explore the conditions under which males and females may differ in their tendency to act corruptly and their tolerance of corruption. We ask if males and females respond differently to the tradeoff between the benefits accrued by corrupt actors versus the negative externality imposed on other people by corruption. Our findings reveal that neither males nor females uniformly are more likely to engage in, or be more tolerant of corruption: it depends on the exact bribery conditions—which can reduce or enhance welfare overall—and the part played in the bribery act. Females are less likely to tolerate and engage in corruption when doing so reduces overall welfare. On the other hand, males are less tolerant of bribery when it enhances welfare but confers payoff disadvantages on them relative to corrupt actors. Females’ behavior is consistent across roles when bribery reduces welfare, but apart from that, gender behavior is strongly role-dependent
Investing in Private Evidence: The Effect of Adversarial Discovery
Full text linkMuch of the conventional wisdom of evidence law rests on the premise that the
amount of evidence available in any given case is exogenously determined. With the
advent of evidence technology (e.g. dashcams, black-box technology, digital data storage, surveillance cameras), the availability of evidence is substantially controlled by
individuals. In this article, we show that evidence rules play an important role in determining individuals’ decisions to invest in private evidence. We compare the evidence
rules adopted in the USA and Europe and analyze their relative impact on the voluntary
adoption of evidence technology. We find that by making private evidence not discoverable, more rather than less evidence would be made available to courts
Giudici con la valigia. Quanto costa il trasferimento dei magistrati alla giustizia italiana
No full textOgni anno in Italia il 26% dei magistrati si trasferisce ad altra sede o altro ufficio. I processi a carico di un giudice trasferito vengono temporaneamente sospesi in attesa dell’arrivo del sostituto. L’impatto complessivo è impressionante: su scala nazionale, ogni anno almeno un milione e mezzo di casi rimangono “congelati” fino all’arrivo di un sostituto, con conseguenti danni ai tempi della giustizia italiana. Per quali ragioni si verifica questo ritardo? È possibile ridurlo? Questo libro offre per la prima volta una misura del fenomeno dei trasferimenti e un’analisi delle sue conseguenze. Attraverso un attento studio giuridico ed empirico, gli autori propongono alcune soluzioni per limitare gli effetti negativi dei trasferimenti, possibilmente a costo zero per lo Stato, per i magistrati, e soprattutto per i cittadini
Tailoring Negligence Standards to Accident Records
Full text linkThe standard 1-period, unilateral care accident model assumes identical injurers and perfect information of an individual’s risk type. However, these assumptions are unlikely to hold in real-world accident scenarios. This paper considers a 2-period, unilateral care accident model in which injurers differ by probabilities of accident (their risk types) and have incomplete information about their risk types. We find that courts should optimally examine an individual‘s
accident history to accurately infer the risk type and adjust the due level of care accordingly.
We show that tailoring due levels of care in the second period affects the definition of the due level of care in the first period. When judges have access to accident records but the risk type is hidden, they should relax the due level of care for first-time offenders to generate more information about an individual’s risk type, which helps to establish more efficient differentiated standards in the subsequent period
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