Tariff Evasion, the Trade Gap, and Structural Trade

Arbeitspapier

While it is well-recognized that there are differences in the trade values reported by exporters and importers, a literature has emerged linking this trade gap to tariff evasion. These efforts, however, lack a structural theoretic underpinning and limit their product-level investigations to a small number of countries. Our first contribution is to provide a structural model of endogenous tariff evasion, one which then highlights the importance of both tariffs and border enforcement. Our second contribution is to use a global, product-level dataset from 2002-2019, the analysis of which is consistent with our model's predictions.

Object Details

• Language: Englisch

References and Relationships

• Bibliographic citation: Series: CESifo Working Paper ; No. 10151

Classification and Topics

• Classification: Wirtschaft ; Trade Policy; International Trade Organizations ; Empirical Studies of Trade ; Tax Evasion and Avoidance
• Subject: tariff evasion ; structural gravity ; trade gap ; border controls

Contributors, Places and Time

• Event: Geistige Schöpfung
• (who): Davies, Ronald B. ; Studnicka, Zuzanna
• Event: Veröffentlichung
• (who): Center for Economic Studies and ifo Institute (CESifo)
• (where): Munich
• (when): 2022

Further information

• Handle: http://hdl.handle.net/10419/271795
• Last update: 10.03.2025, 11:44 AM CET