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ArtikelAre Underground Workers More Likely to be Undreground Consumers ?  
Oleh: Fortin, Bernard ; Lacroix, Guy ; Montmarquette, Claude
Jenis: Article from Journal - ilmiah internasional
Dalam koleksi: The Economic Journal (EBSCO) vol. 110 no. 466 (2000), page 838-860.
Topik: CONSUMERS; underground workers; consumers
Fulltext: 838.pdf (237.86KB)
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  • Perpustakaan Pusat (Semanggi)
    • Nomor Panggil: EE28.2
    • Non-tandon: 1 (dapat dipinjam: 0)
    • Tandon: tidak ada
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Isi artikelWe investigate the impact of working in the underground sector on the demand for underground commodities. Using a tax evasion model with costly information, we show that the presence of a network effect encourages underground workers to purchase underground commodities. The model is estimated using a unique Canadian microdata set for 1993. An increase in underground hours of work has a strong positive effect on the probability of purchasing underground commodities and on the level of expenditures. This relationship has a sizable effect on the impact of tax and enforcement parameters on the level of the underground economy.
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