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Trust in Government and Willingness to Pay Taxes in Transition Countries

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  • John E. Anderson

    (University of Nebraska-Lincoln)

Abstract

This paper examines citizen trust in government institutions and the effect of trust on willingness to pay taxes for public goods/services in transition countries. Empirical models are estimated to test whether trust in government has a positive effect on WTP for improved public education, improved public health system, combating climate change, and helping the needy. Data are from the European Bank for Reconstruction and Development’s Life in Transition Survey, 2010. Results indicate that trust in government generally has a significant positive effect on WTP for public goods, although differences are found among government institutions and across public goods.

Suggested Citation

  • John E. Anderson, 2017. "Trust in Government and Willingness to Pay Taxes in Transition Countries," Comparative Economic Studies, Palgrave Macmillan;Association for Comparative Economic Studies, vol. 59(1), pages 1-22, March.
    • Handle: RePEc:pal:compes:v:59:y:2017:i:1:d:10.1057_s41294-016-0017-x
    DOI: 10.1057/s41294-016-0017-x
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    References listed on IDEAS

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    Cited by:

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    2. Boly, Amadou & Konte, Maty & Shimeles, Abebe, 2019. "Corruption and tax morale in Africa," MERIT Working Papers 2019-042, United Nations University - Maastricht Economic and Social Research Institute on Innovation and Technology (MERIT).
    3. Keefer, Philip & Scartascini, Carlos & Vlaicu, Razvan, 2022. "Demand-side determinants of public spending allocations: Voter trust, risk and time preferences," Journal of Public Economics, Elsevier, vol. 206(C).
    4. Peter Dolton & Mehmet Kutluay & Richard S.J. Tol, 2019. "Attitudes Towards Public Health Spending: The Case of the National Health Service in the United Kingdom," Working Paper Series 0719, Department of Economics, University of Sussex Business School.
    5. Mwoya Byaro & Abel Kinyondo, 2020. "Citizens' Trust in Government and Their Greater Willingness to Pay Taxes in Tanzania: A Case Study of Mtwara, Lindi, and Dar es Salaam Regions," Poverty & Public Policy, John Wiley & Sons, vol. 12(1), pages 73-83, March.
    6. Chaikumbung, Mayula & Doucouliagos, Hristos & Scarborough, Helen, 2019. "Institutions, Culture, and Wetland Values," Ecological Economics, Elsevier, vol. 157(C), pages 195-204.
    7. Nina Bandelj & Christopher W. Gibson, 2020. "Contextualizing Anti-Immigrant Attitudes of East Europeans," Review of European Studies, Canadian Center of Science and Education, vol. 12(3), pages 1-32, September.
    8. Denis Ivanov, 2023. "Economic Insecurity, Institutional Trust and Populist Voting Across Europe," Comparative Economic Studies, Palgrave Macmillan;Association for Comparative Economic Studies, vol. 65(3), pages 461-482, September.

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    More about this item

    Keywords

    trust in government; transition economies; willingness to pay taxes; taxation; redistribution;
    All these keywords.

    JEL classification:

    • H11 - Public Economics - - Structure and Scope of Government - - - Structure and Scope of Government
    • H31 - Public Economics - - Fiscal Policies and Behavior of Economic Agents - - - Household
    • H41 - Public Economics - - Publicly Provided Goods - - - Public Goods

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