Abstract
Human capital accumulation may negatively affect economic growth by increasing tax avoidance and reducing effective tax rates and productive public investment. This paper analyzes how the endogenous feedback between human capital accumulation and tax avoidance affects economic growth and macroeconomic dynamics. Our findings show that this interaction produces remarkable growth and welfare effects.
Original language | English |
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Pages (from-to) | 22-29 |
Number of pages | 8 |
Journal | Economic Modelling |
Volume | 30 |
Issue number | 1 |
DOIs | |
Publication status | Published - 1 Jan 2013 |
Keywords
- Economic growth
- Tax avoidance
- Tax non compliance