This seminar will analyze the widespread phenomenon of tax evasion by individuals and firms from an economic perspective. Students will first learn about the extent of tax evasion and avoidance in different societies and how to theoretically assess why and under which circumstances economic agents decide to evade taxes. Students will then discuss a range of state-of-the-art research papers that empirically assess the extent and mechanisms of tax evasion. Another set of papers concerns  potential policy interventions that aim at curbing tax evasion, as well as the role of social norms that prevent individuals from evading taxes. Last, the consequences of tax evasion for countries’ income distribution and political outcomes will be discussed.

After participating in the seminar, students will be able to:

• understand and analyze a current topic
• to independently develop a research topic based on a literature search
• to conceive, plan and carry out a scientific work
• to present and defend interim results