Does Negative News Create Tax Evaders? Evidence from the Tax Compliance Experiment.

Result code in IS VaVaI
<a href="https://www.isvavai.cz/riv?ss=detail&h=RIV%2F00216224%3A14560%2F16%3A00089259" target="_blank" >RIV/00216224:14560/16:00089259 - isvavai.cz</a>
Result on the web
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DOI - Digital Object Identifier
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Result language
angličtina
Original language name
Does Negative News Create Tax Evaders? Evidence from the Tax Compliance Experiment.
Original language description
Tax evasion is perceived as one of the main problem of public finance. People tend to evade as they do not recognise return in public good provided by the state or local government. The rate of tax compliance might be on the other hand effected also by an external factor such as media who have great power on public opinion and mood of the society We conduct laboratory experiment to study whether framing of effectiveness of state spending influences participants´ decision to pay taxes. Using news headlines, subjects get the information on how state institutions are speeding their budget. Our results show that while positive news increases tax compliance comparing to control group, its effect is not statistically significant. On the other hand, negative news significantly increases tax evasion. Our main finding thus suggests that if people receive signals of ineffectiveness of state´s spending, their willingness to pay taxes considerably drops
Czech name
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Czech description
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Project
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Continuities
S - Specificky vyzkum na vysokych skolach<br>I - Institucionalni podpora na dlouhodoby koncepcni rozvoj vyzkumne organizace

Publication year
2016
Confidentiality
S - Úplné a pravdivé údaje o projektu nepodléhají ochraně podle zvláštních právních předpisů

Article name in the collection
Proceedings of the 20th International Conference Current Trends in Public Sector Research 2016.
ISBN
9788021080829
ISSN
2336-1239
e-ISSN
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Number of pages
9
Pages from-to
102-110
Publisher name
Masaryk University
Place of publication
Brno
Event location
Šlapanice
Event date
Jan 21, 2016
Type of event by nationality
EUR - Evropská akce
UT code for WoS article
000379382400013

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