"When the taxman shutters the store next door"

Project: Research project

Project Details


This project explores the spillover effect of government intervention when the penalty is public in those who observed the punishment. I particularly used the Ecuadorian tax authority's simulated purchase aim to identify VAT evasion via sub-reporting of income. A tax authority employee disguise as a private citizen buys a god or service. If the storekeeper does not provide a sales bill, the tax authority closes the store for a week using visible seals on doors and windows.
Effective start/end date2/9/2111/8/22

Main Funding Source

  • Internal