6533b859fe1ef96bd12b8767

RESEARCH PRODUCT

CAN PUBLIC EDUCATION EXPENDITURE REDUCE THE SHADOW ECONOMY?

Maria Berrittella

subject

educationSettore SECS-P/03 - Scienza Delle Finanzeshadow economy taxation.government expenditure

description

This paper empirically examines whether devoting more resources to education can reduce the size of the shadow economy on a cross-section of countries. The findings show a negative relationship between public education expenditure and the size of the shadow economy, which is robust to the inclusion of different proxies for the control variables, a large set of policy variables and regional differences. The findings also suggest that an increase in educational attainment can reduce the size of the shadow economy.

http://hdl.handle.net/10447/101789