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Face-to-face vs. virtual assistance to entrepreneurs: Evidence from a field experiment in Brazil

Cesar Zucco, Anna-Katharina Lenz, Rafael Goldszmidt and Martín Valdivia ()

Economics Letters, 2020, vol. 188, issue C

Abstract: We conduct a field experiment on formalization and subsequent tax compliance of informal entrepreneurs in Rio de Janeiro favelas. Providing in-person one-on-one training with the offer of one-on-one assistance with the formalization process increased information levels about the program, intention to formalize, formalization, and subsequent tax compliance. Providing essentially the same information and assistance via instant messaging produced similar effects on knowledge and intention to formalize, but no effects on formalization itself.

Keywords: Formalization; Technical assistance; Field experiment (search for similar items in EconPapers)
JEL-codes: I3 O1 O17 (search for similar items in EconPapers)
Date: 2020
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DOI: 10.1016/j.econlet.2019.108922

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