This article introduces a novel database that measures governments' compliance with national constitutions. It combines information on de jure constitutional rules with data on their de facto implementation. The individual compliance indicators can be grouped into four categories that we...

Allegations of voter fraud accompany many real-world elections. How does electoral malpractice affect the acceptance of elected institutions? Using an online experiment in which people distribute income according to majority-elected rules, we show that those who experience vote buying or voter...

This article introduces a novel database that measures governments’ compliance with national constitutions. It combines information on de jure constitutional rules with data on their de facto implementation. The individual compliance indicators can be grouped into four categories that we...

Previous evidence indicates trust is an important correlate of compliance with COVID-19 containment policies. However, this conclusion hinges on two crucial assumptions: first, that compliance does not change over time, and second, that mobility or self-reported measures are good proxies for...

This study examines the influence of the Shariah Supervisory Board (SSB), Board of Directors (BOD), Risk Officers (RO), Audit Committee, and market competition (Lerner) on the Islamic Law Compliance Risk (ILCR). We use a sample of full-fledged Islamic banks in Indonesia with an observation...

I describe how monitoring and harsher law enforcement reduce the expected economic benefits of crime. I investigate the effect of shifts in legal authorities' surveillance by focusing on junkyards, firms often associated with illegal markets and auto theft. Starting in 2014, many municipalities...

This study aims to examine the role of social norms in increasing tax compliance. The traditional model of tax compliance predicts that audits and tax fines are the determinants of tax compliance. This study proposes that social norms would strengthen the effect of the economic factors (i.e.,...

This paper explores the link between trust in government, policy-making, and compliance. It focuses on a specific channel whereby citizens who are convinced that a policy is worthwhile are more motivated to comply with it. This in turn reduces the government's cost of implementing a policy and...

While there are various studies on the relationship between law enforcement and tax compliance, a study that empirically examines the relationship between them within an actual tax administration’s strategy map is lacking in the literature. In response, we set out to examine an identified...

Compliance inspection is a detailed examination procedure for determining compliance of a particular person or organisation with the given set of provisions (in regulations, standards, business rules, etc.). The optimal selection of persons or organisations and provisions for inspection is one...

Classical thinkers like Bentham saw deterrence as a dynamic process in which the punishment of violators today helped deter potential violators in the future by increasing their subjective probability of apprehension. Modern deterrence theory took a different path, analyzing deterrence as a...

Very little is known about the efficient collection of fines despite their indispensable contribution to local government budgets. This paper fills an important gap in the literature by studying the effectiveness of deterrence (enforcement) and non-deterrence (social norms) letters that aim to...

Our ecosystem and mainly our natural resources represent a vital ecological portfolio. Environment is good for business at a time business is not keen to invest in compliance measures. Sustaining the environment is costly and adds additional burden. The burden not only financial, it is mainly...

In 2017, the European Commission prohibited Google from favouring its comparison shopping service within general search results pages. It imposed a fine of US $ 2.73 billion for the committed abuse and a periodic payment penalty for any future non-compliance with the decision. On 10 November...

In the corporate compliance and anti-corruption domains, international standard-setting is in vogue. Recent years have witnessed a flurry of new compliance standards authored by the International Organization for Standardization (ISO), the world’s leading private standard-setter. ISO claims to...

We show empirically that increased inspection induces compliance by raising the cost of bribery. We use the World Bank Enterprise survey data on Bangladesh to analyze the relationship between inspection, bribery and compliance in paying electricity bills by firms. A firm may underpay the...

What determines whether someone complies with a social norm? The social identity approach offers a mechanism for norm compliance: a person who feels similar to a group identifies more with that group and, in turn, complies with the group's norms. We used an economics experiment to test this...

Immigration is a hot button issue about which Americans have sent a clear message. They prefer not to admit more aliens until the government is able to credibly screen for entrants who will abide by the terms of admission and sanction those who do not. While immigration debates now focus almost...

This article reports the results of a study of compliance programs introduced or amended in response to enforcement by the Australian Securities and Investments Commission (ASIC), whether required by court order or as part of an enforceable undertaking (EU). Most of the compliance programs...

This article introduces a novel database that measures governments’ compliance with national constitutions. It combines information on de jure constitutional rules with data on their de facto implementation. The individual compliance indicators can be grouped into four categories that we...

We analyze the history of Japanese foreign exchange interventions from 1971 to 2018. First, we provide the best proxy for monthly interventions for the period from 1971 to 1990, when the intervention timings and amounts were not officially disclosed. The accuracy of the proxy is tested for the...

Since the 18th National Congress of the Communist Party of China, the corporate behavior of Chinese SOEs has received continuous attention. In today’s era, corporate compliance is the general trend internationally. Under the current international mainstream anti-corruption compliance laws, a...

Firms' regulatory compliance with environmental and safety issues has been suggested as one of the reasons why firms innovate. Such compliance provides legitimacy, improves reputation and corporate image, and enhances customer loyalty and competitive advantages, which influences firm...

The application of foreign norms, such as FCPA (USA), 'UK Bribery Act ', EU GDPR in a 'extraterritorially' interpretation is the equivalent of a 'Copernic revolution' in the regulation of International Trade and bilateral transactions. In fact, they oblige Mexican individuals, organizations, and...

Due to its great contribution to environmental pollution, the American utility industry is increasingly under a high level of scrutiny by its stakeholders. Proponents of the legitimacy theory, argue that poor environmental performers are likely to voluntarily disclose more environmental...

Is privacy a luxury for the rich world? Remarkably, there is a dearth of literature evaluating whether data privacy is too costly for companies to implement, or too expensive for governments to enforce. This paper is the first to offer a review of surveys of costs of compliance, and to summarize...

Tax revenue in many low-income countries is inadequate for funding government investment in infrastructure and public services. This paper examines two dimensions of low state capacity that hinder tax collection: the inability to ascertain the tax base (detection capacity) and the inability to...

The paper examines the legacy of pre-colonial centralization on tax compliance norms of citizens in contemporary Uganda. By combining geo-referenced anthropological data on precolonial ethnic homelands with survey data from several rounds of the Afrobarometer Survey, respondents from the...

Very little is known about the efficient collection of fines despite their indispensable contribution to local government budgets. This paper fills an important gap in the literature by studying the effectiveness of deterrence (enforcement) and non-deterrence (social norms) letters that aim to...

Corporate investment in compliance in general and compliance management systems (CMS) in particular, follow the cardinal management obligation to always obey the law (so-called "management duty to legality"). But does the compliance function as any other corporate investment really add value...

While effective preventive measures against COVID-19 are now widely known, many individuals fail to adopt them. This paper provides experimental evidence about one potentially important driver of compliance with social distancing: social norms. We asked each of 23,000 survey respondents in...

Although there has been considerable research on the impact of corporate governance on corporate voluntary disclosure, empirical evidence on how governance affects compliance with mandatory disclosure requirements is limited. We contribute to governance and disclosure literature by examining the...

In cooperative compliance programs, firms and tax administrations agree on cooperation instead of confrontation. Firms provide full transparency and advanced tax control frameworks. Tax administrations, in turn, offer certainty as to the tax treatment of complex transactions. In this study, we...

International environmental agreements (IEAs) address cross-border public goods, therefore they are faced with free-riding problems. Generally, the incentives of states to comply with such treaties are low as the benefits of compliance do not always outweigh the cost. Previous literature has...

We study the impact of a COVID-19 relief program on compliance with confinement measures in Italy, the early epicenter of the pandemic. We match information on the allocation of funds across Italian municipalities with data tracking citizens' movements drawn from mobile devices and vehicles'...