IDEAS home Printed from https://ideas.repec.org/a/eee/joepsy/v30y2009i2p162-171.html
   My bibliography  Save this article

Consumer decisions in the black market for stolen or counterfeit goods

Author

Listed:
  • Casola, Luca
  • Kemp, Simon
  • Mackenzie, Alexander

Abstract

Three studies investigated hypothetical consumer behaviour in buying stolen, pirated or counterfeit goods from the black market. Study 1 found that both students and members of the general public rated the acceptability of such purchases higher when the victim was an organisation or society rather than an individual, and when there was a survival need rather than not otherwise being able to afford the good or wanting to save money. Study 2 used an adaptive method to find the price at which hypothetical consumers would buy from the black market rather than legally. The price was higher if the victim was society or an organisation, was little affected by the legal price, and generally averaged about a third of the legal price. Study 3 found that providing participants with information about the costs incurred by victims lowered the price they were willing to pay for black market goods, and increased the number of refusals to buy at any price.

Suggested Citation

  • Casola, Luca & Kemp, Simon & Mackenzie, Alexander, 2009. "Consumer decisions in the black market for stolen or counterfeit goods," Journal of Economic Psychology, Elsevier, vol. 30(2), pages 162-171, April.
    • Handle: RePEc:eee:joepsy:v:30:y:2009:i:2:p:162-171
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0167-4870(08)00076-7
    Download Restriction: Full text for ScienceDirect subscribers only
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. David E. A. Giles, 1999. "Modelling the hidden economy and the tax-gap in New Zealand," Empirical Economics, Springer, vol. 24(4), pages 621-640.
    2. Timothy Cronan & Sulaiman Al-Rafee, 2008. "Factors that Influence the Intention to Pirate Software and Media," Journal of Business Ethics, Springer, vol. 78(4), pages 527-545, April.
    3. Kirchler,Erich, 2007. "The Economic Psychology of Tax Behaviour," Cambridge Books, Cambridge University Press, number 9780521876742, November.
    4. Allingham, Michael G. & Sandmo, Agnar, 1972. "Income tax evasion: a theoretical analysis," Journal of Public Economics, Elsevier, vol. 1(3-4), pages 323-338, November.
    5. Sheley, Joseph F. & Bailey, Kenneth D., 1985. "New directions for anti-theft policy: Reductions in stolen goods buyers," Journal of Criminal Justice, Elsevier, vol. 13(5), pages 399-415.
    6. Christopher Robertson & K. Gilley & William Crittenden, 2008. "Trade Liberalization, Corruption, and Software Piracy," Journal of Business Ethics, Springer, vol. 78(4), pages 623-634, April.
    7. Strutton, David & Vitell, Scott J. & Pelton, Lou E., 1994. "How consumers may justify inappropriate behavior in market settings: An application on the techniques of neutralization," Journal of Business Research, Elsevier, vol. 30(3), pages 253-260, July.
    8. Mittone, Luigi, 2006. "Dynamic behaviour in tax evasion: An experimental approach," Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics), Elsevier, vol. 35(5), pages 813-835, October.
    9. Fortin, Bernard & Lacroix, Guy & Montmarquette, Claude, 2000. "Are Underground Workers More Likely to be Underground Consumers?," Economic Journal, Royal Economic Society, vol. 110(466), pages 838-860, October.
    10. Ritov, Ilana & Baron, Jonathan, 1999. "Protected Values and Omission Bias," Organizational Behavior and Human Decision Processes, Elsevier, vol. 79(2), pages 79-94, August.
    11. Irwin, Julie R. & Baron, Jonathan, 2001. "Response Mode Effects and Moral Values," Organizational Behavior and Human Decision Processes, Elsevier, vol. 84(2), pages 177-197, March.
    12. Baron, Jonathan & Spranca, Mark, 1997. "Protected Values," Organizational Behavior and Human Decision Processes, Elsevier, vol. 70(1), pages 1-16, April.
    13. Cordell, Victor V. & Wongtada, Nittaya & Kieschnick, Robert Jr., 1996. "Counterfeit purchase intentions: Role of lawfulness attitudes and product traits as determinants," Journal of Business Research, Elsevier, vol. 35(1), pages 41-53, January.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Correia, Antónia & Kozak, Metin, 2016. "Tourists' shopping experiences at street markets: Cross-country research," Tourism Management, Elsevier, vol. 56(C), pages 85-95.
    2. James E. Prieger, 2023. "Tax noncompliance: The role of tax morale in smokers' behavior," Contemporary Economic Policy, Western Economic Association International, vol. 41(4), pages 653-673, October.
    3. Haesun Park-Poaps & Jiyun Kang, 2018. "An experiment on non-luxury fashion counterfeit purchase: the effects of brand reputation, fashion attributes, and attitudes toward counterfeiting," Journal of Brand Management, Palgrave Macmillan, vol. 25(2), pages 185-196, March.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Christoph Bühren & Thorben C. Kundt, 2013. "Worker or Shirker – Who Evades More Taxes? A Real Effort Experiment," MAGKS Papers on Economics 201326, Philipps-Universität Marburg, Faculty of Business Administration and Economics, Department of Economics (Volkswirtschaftliche Abteilung).
    2. Casal, Sandro & Mittone, Luigi, 2016. "Social esteem versus social stigma: The role of anonymity in an income reporting game," Journal of Economic Behavior & Organization, Elsevier, vol. 124(C), pages 55-66.
    3. Semjén, András, 2017. "Az adózói magatartás különféle magyarázatai [Various explanations for tax compliance]," Közgazdasági Szemle (Economic Review - monthly of the Hungarian Academy of Sciences), Közgazdasági Szemle Alapítvány (Economic Review Foundation), vol. 0(2), pages 140-184.
    4. Friedrich Schneider, 2012. "The Shadow Economy and Tax Evasion: What Do We (Not) Know?," CESifo Forum, ifo Institute - Leibniz Institute for Economic Research at the University of Munich, vol. 13(02), pages 03-12, July.
    5. Schneider Friedrich & Buehn Andreas, 2017. "Shadow Economy: Estimation Methods, Problems, Results and Open questions," Open Economics, De Gruyter, vol. 1(1), pages 1-29, March.
    6. James Alm & Antoine Malézieux, 2021. "40 years of tax evasion games: a meta-analysis," Experimental Economics, Springer;Economic Science Association, vol. 24(3), pages 699-750, September.
    7. Philippe Adair, 2012. "The Non-Observed Economy in the European Union Countries (EU-15): A Comparative Analysis of Estimates," Chapters, in: Michael Pickhardt & Aloys Prinz (ed.), Tax Evasion and the Shadow Economy, chapter 5, Edward Elgar Publishing.
    8. Friedrich SCHNEIDER, 2016. "Estimating the Size of the Shadow Economy: Methods, Problems and Open Questions," Turkish Economic Review, KSP Journals, vol. 3(2), pages 256-280, June.
    9. James Alm & Lilith Burgstaller & Arrita Domi & Amanda März & Matthias Kasper, 2023. "Nudges, Boosts, and Sludge: Using New Behavioral Approaches to Improve Tax Compliance," Economies, MDPI, vol. 11(9), pages 1-22, September.
    10. Müller, Martin & Olsen, Jerome & Kirchler, Erich & Kogler, Christoph, 2023. "How explicit expected value information affects tax compliance decisions and information acquisition," Journal of Economic Psychology, Elsevier, vol. 99(C).
    11. Kastlunger, Barbara & Kirchler, Erich & Mittone, Luigi & Pitters, Julia, 2009. "Sequences of audits, tax compliance, and taxpaying strategies," Journal of Economic Psychology, Elsevier, vol. 30(3), pages 405-418, June.
    12. Mendoza, Juan P. & Wielhouwer, Jacco L. & Kirchler, Erich, 2017. "The backfiring effect of auditing on tax compliance," Journal of Economic Psychology, Elsevier, vol. 62(C), pages 284-294.
    13. Lars P. Feld & Friedrich Schneider, 2011. "Survey on the Shadow Economy and Undeclared Work in OECD Countries," Chapters, in: Friedrich Schneider (ed.), Handbook on the Shadow Economy, chapter 2, Edward Elgar Publishing.
    14. Gonzalo E. Sánchez, 2022. "Non-compliance notifications and taxpayer strategic behavior: evidence from Ecuador," International Tax and Public Finance, Springer;International Institute of Public Finance, vol. 29(3), pages 627-666, June.
    15. James Alm & William D. Schulze & Carrie von Bose & Jubo Yan, 2019. "Appeals to Social Norms and Taxpayer Compliance," Southern Economic Journal, John Wiley & Sons, vol. 86(2), pages 638-666, October.
    16. Bernasconi, Michele & Bernhofer, Juliana, 2020. "Catch Me If You Can: Testing the reduction of compound lotteries axiom in a tax compliance experiment," Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics), Elsevier, vol. 84(C).
    17. Barbara Hartl & Eva Hofmann & Katharina Gangl & Martina Hartner-Tiefenthaler & Erich Kirchler, 2015. "Does the Sole Description of a Tax Authority Affect Tax Evasion? - The Impact of Described Coercive and Legitimate Power," PLOS ONE, Public Library of Science, vol. 10(4), pages 1-19, April.
    18. Eline Jongmans & Alain Jolibert & Julie Irwin, 2014. "Toujours plus, toujours mieux ? Effet contre-intuitif de l'évaluation des attributs environnementaux du produit par le consommateur," Post-Print halshs-01185784, HAL.
    19. Schneider, Friedrich, 2014. "The Shadow Economy and Shadow Labor Force: A Survey of Recent Developments," IZA Discussion Papers 8278, Institute of Labor Economics (IZA).
    20. Friedrich Schneider, 2014. "In the Shadow of the State – The Informal Economy and Informal Economy Labor Force," DANUBE: Law and Economics Review, European Association Comenius - EACO, issue 4, pages 227-248, December.

    More about this item

    Keywords

    Black market Counterfeiting;

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:joepsy:v:30:y:2009:i:2:p:162-171. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.elsevier.com/locate/joep .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.