Trust to Pay ? Tax Morale and Trust in Africa

Wilfried Kouamé

No 8968, Policy Research Working Paper Series from The World Bank

Abstract: Although low tax morale hits developing countries hardest, little is known about its determinants in those countries. This paper examines the impact of trust in public institutions and the neighborhood on individual tax morale in four African countries: Algeria, Ghana, Morocco, and Nigeria. First, the paper provides theoretical foundations of such a relationship. Further, the paper uses the World Value Survey to estimate the effects of trust in public institutions and the neighborhood on individual tax morale. The identification strategy employs the instrumental variables method and relies on historical data on the slave trade and the literature on the cultural heritage of trust. The paper finds that trust in public institutions and the neighborhood are largely associated with tax morale in the African countries under consideration. The findings are robust to an alternative identification strategy, additional controls, and a falsification test.

Keywords: Tax Law; Educational Sciences; International Trade and Trade Rules; Culture in Sustainable Development; Literature&Folklore; Culture and Cultural Practice; Artisans; Arts&Music; Cultural Policy; Cultural Heritage&Preservation (search for similar items in EconPapers)
Date: 2019-08-06
New Economics Papers: this item is included in nep-his, nep-iue, nep-pbe and nep-soc
References: Add references at CitEc
Citations:

Downloads: (external link)
http://documents.worldbank.org/curated/en/99788156 ... -Trust-in-Africa.pdf (application/pdf)

Related works:
Journal Article: Trust to Pay? Tax Morale and Trust in Africa (2021)
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:wbk:wbrwps:8968

Access Statistics for this paper

More papers in Policy Research Working Paper Series from The World Bank 1818 H Street, N.W., Washington, DC 20433. Contact information at EDIRC.
Bibliographic data for series maintained by Roula I. Yazigi ().