Tariff evasion in sub-Saharan Africa: the influence of corruption in importing and exporting countries

Research output: Contribution to JournalArticleAcademicpeer-review

Abstract

Multilateral organizations recommend sub-Saharan African (SSA) countries to increase international trade in order to attain sustainable economic growth. The benefits of trade can be hampered, however, by tariff evasion. Using trade data from 2008–2014 of 31 SSA countries, we examine how the association between tariff rates and value and quantity gaps (which are indicative of tariff evasion) is enhanced by corruption in both importing and exporting countries (SSA countries are referred to as importing countries, and their trade partners from outside SSA are referred to as exporting countries). Results of a series of tests show that corruption levels in both sides of the trade partnership reinforce the (positive) association between tariff rates and value and quantity gaps. This indicates that counteracting tariff evasion in SSA is a co-responsibility between trade partners.
Original languageEnglish
Pages (from-to)741-761
JournalInternational Tax and Public Finance
Volume23
Issue number4
DOIs
Publication statusPublished - 2016

Fingerprint

Importing
Sub-Saharan Africa
Tariffs
Exporting
Evasion
Corruption
African countries
Africa
Economic growth
International trade
Multilateral organizations
Responsibility

Cite this

@article{50131167742642208be36f8c5ddd2626,
title = "Tariff evasion in sub-Saharan Africa: the influence of corruption in importing and exporting countries",
abstract = "Multilateral organizations recommend sub-Saharan African (SSA) countries to increase international trade in order to attain sustainable economic growth. The benefits of trade can be hampered, however, by tariff evasion. Using trade data from 2008–2014 of 31 SSA countries, we examine how the association between tariff rates and value and quantity gaps (which are indicative of tariff evasion) is enhanced by corruption in both importing and exporting countries (SSA countries are referred to as importing countries, and their trade partners from outside SSA are referred to as exporting countries). Results of a series of tests show that corruption levels in both sides of the trade partnership reinforce the (positive) association between tariff rates and value and quantity gaps. This indicates that counteracting tariff evasion in SSA is a co-responsibility between trade partners.",
author = "T. Worku and {Mendoza Rodriguez}, J.P. and J.L. Wielhouwer",
year = "2016",
doi = "10.1007/s10797-016-9407-2",
language = "English",
volume = "23",
pages = "741--761",
journal = "International Tax and Public Finance",
issn = "0927-5940",
publisher = "Springer New York",
number = "4",

}

Tariff evasion in sub-Saharan Africa: the influence of corruption in importing and exporting countries. / Worku, T.; Mendoza Rodriguez, J.P.; Wielhouwer, J.L.

In: International Tax and Public Finance, Vol. 23, No. 4, 2016, p. 741-761.

Research output: Contribution to JournalArticleAcademicpeer-review

TY - JOUR

T1 - Tariff evasion in sub-Saharan Africa: the influence of corruption in importing and exporting countries

AU - Worku, T.

AU - Mendoza Rodriguez, J.P.

AU - Wielhouwer, J.L.

PY - 2016

Y1 - 2016

N2 - Multilateral organizations recommend sub-Saharan African (SSA) countries to increase international trade in order to attain sustainable economic growth. The benefits of trade can be hampered, however, by tariff evasion. Using trade data from 2008–2014 of 31 SSA countries, we examine how the association between tariff rates and value and quantity gaps (which are indicative of tariff evasion) is enhanced by corruption in both importing and exporting countries (SSA countries are referred to as importing countries, and their trade partners from outside SSA are referred to as exporting countries). Results of a series of tests show that corruption levels in both sides of the trade partnership reinforce the (positive) association between tariff rates and value and quantity gaps. This indicates that counteracting tariff evasion in SSA is a co-responsibility between trade partners.

AB - Multilateral organizations recommend sub-Saharan African (SSA) countries to increase international trade in order to attain sustainable economic growth. The benefits of trade can be hampered, however, by tariff evasion. Using trade data from 2008–2014 of 31 SSA countries, we examine how the association between tariff rates and value and quantity gaps (which are indicative of tariff evasion) is enhanced by corruption in both importing and exporting countries (SSA countries are referred to as importing countries, and their trade partners from outside SSA are referred to as exporting countries). Results of a series of tests show that corruption levels in both sides of the trade partnership reinforce the (positive) association between tariff rates and value and quantity gaps. This indicates that counteracting tariff evasion in SSA is a co-responsibility between trade partners.

U2 - 10.1007/s10797-016-9407-2

DO - 10.1007/s10797-016-9407-2

M3 - Article

VL - 23

SP - 741

EP - 761

JO - International Tax and Public Finance

JF - International Tax and Public Finance

SN - 0927-5940

IS - 4

ER -