We analyze the impact of trust on bargaining behavior between auditor and auditee in a tax setting. We study the effect … of interpersonal trust and trust in government on both taxpayer and tax auditor. In an experiment with variation in …. While trust in government increases taxpayers’ tax offers, trust in government may lead to more concessionary behavior of …

internationally mobile and labour immobile. In setting tax rates the government is assumed to behave as a Stackelberg leader towards …

The VAT is compared to a turnover tax (TT) given monopoly final goods and intermediate goods firms interacting …" games, a revenue neutral VAT may not exist to a given turnover tax; and the TT can dominate the VAT simultaneously in …