آیا اقتصاد زیرزمینی بصورت متقارن به تغییرات مالیاتی واکنش نشان می هد؟ مدارک و شواهد از یونان

We employ Greek data over the period 1960–1997 to examine whether or not the underground economy responds asymmetrically to tax changes, both indirect and direct. Asymmetry implies that taxpayers react in a different manner to tax increases and to tax reductions. To test this hypothesis, we specify and estimate a vector error correction model. The empirical evidence suggests that, when indirect and direct taxes rise, taxpayers move into the underground economy as quickly as they move out of it when indirect and direct taxes decrease. Thus, our results do not give support to the asymmetry hypothesis. This finding has important implications for the effectiveness of fiscal policy in view of the country joining the EMU.