Is There any Long-term Association Between Tax Evasion and Human Development?: Evidence from OECD Countries

Jülide YALÇINKAYA KOYUNCU; Hüseyin Safa ÜNAL

Article Details

Is There any Long-term Association Between Tax Evasion and Human Development?: Evidence from OECD Countries

Authors:

Jülide YALÇINKAYA KOYUNCU | Hüseyin Safa ÜNAL

Publisher:

Denta Florya ADSM Limited Company

Main Topics:

Sociology and anthropology

Journal:

Social Sciences Research Journal 2018 Vol.7 Issue 3, pp.92-101

Document Type:

Article

Publication Date:

8/2018

Document Language:

English

Document ID (Org No.):

2000605912

Frequency:

Quarterly

eISSN:

2147-5237

Abstract:

 


This study aims to find the role of tax evasion on human development. It
is claimed that tax evasion has a negative effect on tax revenues, which in
turn causes people to not be able to access public services such as health and
education efficiently. Further, people cannot benefit from social aids in a
sufficient way. While government-provided public services are supposed to
increase living standards, limitations on the access to them are
expected to worsen human development, and deteriorate poverty. In line with the
objective to find a potential long-run impact of tax evasion on human
development, human development index (HDI) and size of tax evasion as
percentage of GDP data of 36 OECD countries over the period of 1999 to 2010 are
utilized. By conducting panel unit root and cointegration tests, two series are
checked for stationarity and cointegration. Long-run coefficients of panel
dynamic OLS (PDOLS) estimation reveal that tax evasion has a strong negative
effect on human development in the long run. High level of poverty is also a
side effect of the linkage between tax evasion and human development.




.

 

This study aims to find the role of tax evasion on human development. It
is claimed that tax evasion has a negative effect on tax revenues, which in
turn causes people to not be able to access public services such as health and
education efficiently. Further, people cannot benefit from social aids in a
sufficient way. While government-provided public services are supposed to
increase living standards, limitations on the access to them are
expected to worsen human development, and deteriorate poverty. In line with the
objective to find a potential long-run impact of tax evasion on human
development, human development index (HDI) and size of tax evasion as
percentage of GDP data of 36 OECD countries over the period of 1999 to 2010 are
utilized. By conducting panel unit root and cointegration tests, two series are
checked for stationarity and cointegration. Long-run coefficients of panel
dynamic OLS (PDOLS) estimation reveal that tax evasion has a strong negative
effect on human development in the long run. High level of poverty is also a
side effect of the linkage between tax evasion and human development.




.

Article Details

Is There any Long-term Association Between Tax Evasion and Human Development?: Evidence from OECD Countries

Authors: Jülide YALÇINKAYA KOYUNCU | Hüseyin Safa ÜNAL

Publisher: Denta Florya ADSM Limited Company

Main Topics: Sociology and anthropology

Journal: Social Sciences Research Journal 2018 Vol.7 Issue 3, pp.92-101

Document Type: Article

Publication Date: 8/2018

Document Language: English

Document ID (Org No.): 2000605912

Frequency: Quarterly

eISSN: 2147-5237

Issues

Authors:

Jülide YALÇINKAYA KOYUNCU | Hüseyin Safa ÜNAL

Publisher:

Denta Florya ADSM Limited Company

Main Topics:

Sociology and anthropology

Journal:

Social Sciences Research Journal 2018 Vol.7 Issue 3, pp.92-101

Document Type:

Article

Publication Date:

8/2018

Document Language:

English

Document ID (Org No.):

2000605912

Frequency:

Quarterly

eISSN:

2147-5237