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Profit Tax Evasion under Oligopoly with Endogenous Market Structure /

개인저자
Goerke, Laszlo ;, Runkel, Marco
수록페이지
851-858 p.
발행일자
2006.12.23
출판사
National Tax Association
초록
[영문]This note investigates the impact of profit tax evasion on firms' output decisions in a Cournot oligopoly setting in which the market structure is determined endogenously. It is shown that tax evasion intensifies market entry and raises aggregate output, while production of each incumbent firm decreases. Therefore, tax evasion choices affect activity decisions and an evadable profit tax distorts the market outcome