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Profit Tax Evasion With Collusion Between Employers and Employees, and Wage Inequality: A General Equilibrium Analysis 雇主与雇员合谋偷税利得与工资不平等:一般均衡分析
IF 1.1 4区 经济学
Manchester School Pub Date : 2026-04-03 Epub Date: 2025-11-28 DOI: 10.1111/manc.70021
Ji Sun, Leonard F. S. Wang
{"title":"Profit Tax Evasion With Collusion Between Employers and Employees, and Wage Inequality: A General Equilibrium Analysis","authors":"Ji Sun,&nbsp;Leonard F. S. Wang","doi":"10.1111/manc.70021","DOIUrl":"https://doi.org/10.1111/manc.70021","url":null,"abstract":"<div>\u0000 \u0000 <p>In this paper, in a general equilibrium setting, we address the issue of profit tax evasion with collusion between employers and employees in a given number of homogeneous Cournot oligopoly with the consensus of unskilled workers, wherein the profit-maximizing firm is over-reporting the wage payment to evade the corporate profit tax and the unskilled labor receives a part of cost-saving ex ante. We show that under a given number of manufacturing firms, the firms evading tax by over-reporting production cost will worsen wage inequality and income inequality between production factors. In the analysis of the collusion between employers and employees, we find that a higher ratio of wage-saving sharing will strengthen the negative effect of the manufacturing firm evading tax on wage inequality and income inequality among sectors, however, the negative effects within industrial sector are weakened.</p>\u0000 </div>","PeriodicalId":47546,"journal":{"name":"Manchester School","volume":"94 3","pages":"269-277"},"PeriodicalIF":1.1,"publicationDate":"2026-04-03","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"147715229","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":4,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
引用次数: 0
Profit Tax Evasion With Collusion Between Employers and Employees, and Wage Inequality: A General Equilibrium Analysis 雇主与雇员合谋偷税利得与工资不平等:一般均衡分析
IF 1.1 4区 经济学
Manchester School Pub Date : 2026-04-03 Epub Date: 2025-11-28 DOI: 10.1111/manc.70021
Ji Sun, Leonard F. S. Wang
{"title":"Profit Tax Evasion With Collusion Between Employers and Employees, and Wage Inequality: A General Equilibrium Analysis","authors":"Ji Sun,&nbsp;Leonard F. S. Wang","doi":"10.1111/manc.70021","DOIUrl":"10.1111/manc.70021","url":null,"abstract":"<div>\u0000 \u0000 <p>In this paper, in a general equilibrium setting, we address the issue of profit tax evasion with collusion between employers and employees in a given number of homogeneous Cournot oligopoly with the consensus of unskilled workers, wherein the profit-maximizing firm is over-reporting the wage payment to evade the corporate profit tax and the unskilled labor receives a part of cost-saving ex ante. We show that under a given number of manufacturing firms, the firms evading tax by over-reporting production cost will worsen wage inequality and income inequality between production factors. In the analysis of the collusion between employers and employees, we find that a higher ratio of wage-saving sharing will strengthen the negative effect of the manufacturing firm evading tax on wage inequality and income inequality among sectors, however, the negative effects within industrial sector are weakened.</p>\u0000 </div>","PeriodicalId":47546,"journal":{"name":"Manchester School","volume":"94 3","pages":"269-277"},"PeriodicalIF":1.1,"publicationDate":"2026-04-03","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"147715228","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":4,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
引用次数: 0
Escaping the Middle-Income Trap: The Role of Strategic Public Investment and Industrial Structure Change 摆脱中等收入陷阱:战略性公共投资与产业结构变化的作用
IF 1.1 4区 经济学
Manchester School Pub Date : 2026-04-03 Epub Date: 2025-12-28 DOI: 10.1111/manc.70032
Yuta Kato
{"title":"Escaping the Middle-Income Trap: The Role of Strategic Public Investment and Industrial Structure Change","authors":"Yuta Kato","doi":"10.1111/manc.70032","DOIUrl":"10.1111/manc.70032","url":null,"abstract":"<div>\u0000 \u0000 <p>This article examines how the middle-income trap occurs in developing economies, and how fiscal policies and development strategies can help them avoid or escape this development challenge. Using a dual-sector model with public investment in infrastructure and education, we analyze how different policy choices affect growth trajectories and development outcomes. The findings suggest that appropriate fiscal policies and investment strategies are crucial for avoiding development traps and achieving sustainable economic growth. However, insufficient infrastructure investments can lead to the stagnation of industrialization and economic development, potentially leading to a middle-income trap. The model also reveals an important relationship between poverty and middle-income traps, showing that even after escaping initial poverty through external assistance, countries need appropriate fiscal policies to achieve sustainable development.</p>\u0000 </div>","PeriodicalId":47546,"journal":{"name":"Manchester School","volume":"94 3","pages":"309-328"},"PeriodicalIF":1.1,"publicationDate":"2026-04-03","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"147715282","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":4,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
引用次数: 0
Debt—The First 100 Years: Fiscal Sustainability in Ireland 1924–2023 债务-第一个100年:爱尔兰财政可持续性1924-2023
IF 1.1 4区 经济学
Manchester School Pub Date : 2026-04-03 Epub Date: 2025-12-30 DOI: 10.1111/manc.70031
Stephen Moore
{"title":"Debt—The First 100 Years: Fiscal Sustainability in Ireland 1924–2023","authors":"Stephen Moore","doi":"10.1111/manc.70031","DOIUrl":"10.1111/manc.70031","url":null,"abstract":"<div>\u0000 \u0000 <p>This paper assesses the sustainability of Ireland's public debt to modified gross national income ratio since 1924 using a smooth transition autoregressive model. Empirical findings show that Ireland's debt has historically been mean reverting, exhibiting both non-linear and asymmetric behaviour. The speed of adjustment was highest during two brief periods, centred around 1990 and 2016, characterised by simultaneous growth in nominal income and reductions in public debt.</p>\u0000 </div>","PeriodicalId":47546,"journal":{"name":"Manchester School","volume":"94 3","pages":"329-340"},"PeriodicalIF":1.1,"publicationDate":"2026-04-03","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"147715269","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":4,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
引用次数: 0
Assessing Multidimensional Poverty in the European Union: Insights From SDG 1 and the Benefit of the Doubt Approach 评估欧盟的多维贫困:来自可持续发展目标1的见解和怀疑的好处方法
IF 1.1 4区 经济学
Manchester School Pub Date : 2026-04-03 Epub Date: 2025-12-21 DOI: 10.1111/manc.70030
Fernando Henrique Taques, Miguel Gustavo Gomes da Silva, Antonio Reinaldo Silva Neto
{"title":"Assessing Multidimensional Poverty in the European Union: Insights From SDG 1 and the Benefit of the Doubt Approach","authors":"Fernando Henrique Taques,&nbsp;Miguel Gustavo Gomes da Silva,&nbsp;Antonio Reinaldo Silva Neto","doi":"10.1111/manc.70030","DOIUrl":"https://doi.org/10.1111/manc.70030","url":null,"abstract":"<p>The eradication of poverty remains one of the greatest economic challenges of the 21st century, particularly in light of transformations in labour markets, demographic shifts, and recent crises such as the COVID-19 pandemic. Sustainable Development Goal 1 (SDG 1) acknowledges the need for broader approaches to measuring and addressing poverty, going beyond income-based metrics to include multiple social and economic dimensions. This article analyses the evolution of multidimensional poverty across European Union countries between 2015 and 2023, using 11 indicators linked to SDG 1. The benefit of the doubt (BoD) method is employed to construct a composite index with endogenously determined weights, allowing for cross-country comparisons that account for national specificities. The findings reveal distinct regional patterns: Northern and Western European countries, such as Finland and the Czech Republic, demonstrated stronger performance, while Southern and Eastern European countries continued to face persistent vulnerabilities.</p>","PeriodicalId":47546,"journal":{"name":"Manchester School","volume":"94 3","pages":"296-308"},"PeriodicalIF":1.1,"publicationDate":"2026-04-03","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"https://onlinelibrary.wiley.com/doi/epdf/10.1111/manc.70030","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"147715223","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":4,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"OA","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
引用次数: 0
When Algorithms Inspire: Cooperative Commitment and Market Competition Under Network Externalities—Cournot Versus Bertrand 当算法激励:网络外部性下的合作承诺与市场竞争——cournot与Bertrand
IF 1.1 4区 经济学
Manchester School Pub Date : 2025-11-28 DOI: 10.1111/manc.70020
Chokri Aloui, Khaïreddine Jebsi
{"title":"When Algorithms Inspire: Cooperative Commitment and Market Competition Under Network Externalities—Cournot Versus Bertrand","authors":"Chokri Aloui,&nbsp;Khaïreddine Jebsi","doi":"10.1111/manc.70020","DOIUrl":"https://doi.org/10.1111/manc.70020","url":null,"abstract":"<div>\u0000 \u0000 <p>Our paper explores how firms facing positive direct network externalities cooperate to shape customer expectations while safeguarding their competitive positions in quantity (Cournot) and price (Bertrand) competition. The results reveal that firms gravitate toward adopting a cooperative <i>full non-commitment</i> structure in scenarios where network externalities are <i>weak</i>. Their rationale lies in their inability to effectively counteract potential price reductions that could result from any form of commitment. When facing <i>moderate</i> network externalities within a Bertrand competition framework, the preference for cooperative <i>full non-commitment</i> persists, whereas, in Cournot competition, firms cooperatively opt for <i>partial commitment</i>. This choice aims to strike a delicate balance between stimulating demand expansion and mitigating significant price reduction, ultimately leading to a collusive outcome. Under <i>strong</i> network externalities, the cooperative <i>partial commitment</i> is chosen <i>regardless</i> of the competition mode, albeit with a lower commitment level observed in Bertrand competition. The paper's analysis notably emphasizes the <i>convergence</i> of Cournot, Bertrand, and collusive outcomes, especially when significant network externalities are at play. Strikingly, the model uncovers a commitment <i>paradox</i> in which the same <i>full commitment</i> structure can either promote aggressive competition under regulatory intervention or entrench monopoly power when adopted through collusion. This underscores the crucial necessity for robust regulatory oversight, particularly in the digital age, where <i>algorithms</i> play pivotal roles in shaping cooperative commitment strategies.</p>\u0000 </div>","PeriodicalId":47546,"journal":{"name":"Manchester School","volume":"94 2","pages":"249-266"},"PeriodicalIF":1.1,"publicationDate":"2025-11-28","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"146155155","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":4,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
引用次数: 0
Endogenous Competition Strategies With R&D in a Vertically Mixed Market Under Forward Passive Ownership 纵向混合市场中前瞻性被动所有权下研发的内生竞争策略
IF 1.1 4区 经济学
Manchester School Pub Date : 2025-11-19 DOI: 10.1111/manc.70019
Lili Xu, Yidan Zhang, Sang-Ho Lee
{"title":"Endogenous Competition Strategies With R&D in a Vertically Mixed Market Under Forward Passive Ownership","authors":"Lili Xu,&nbsp;Yidan Zhang,&nbsp;Sang-Ho Lee","doi":"10.1111/manc.70019","DOIUrl":"https://doi.org/10.1111/manc.70019","url":null,"abstract":"<p>This study examines endogenous choices of competition strategies in a vertically related mixed market in which an integrated public firm and a downstream firm, subject to forward passive ownership (FPO) by an input supplier, may engage in R&amp;D investment. We demonstrate that Bertrand (price-quantity) competition emerges when both levels of FPO and product substitutability are low (high), which proves detrimental (beneficial) to society. Compared to the case where R&amp;D decisions are not involved, we find that the possibility that the socially desirable equilibrium (i.e., price-quantity competition) appears becomes larger under R&amp;D competition. Finally, when the FPO level is low but the product substitutability is high, welfare enhancement attributed to the privatization of a public firm can be more constrained under R&amp;D investment. Our findings suggest that antitrust agencies should monitor not only the FPO level but also R&amp;D-engaged firms' coordination on the competition mode, while it is socially beneficial to encourage R&amp;D investment when the FPO level is high, rather than privatizing the integrated public firm.</p>","PeriodicalId":47546,"journal":{"name":"Manchester School","volume":"94 2","pages":"234-248"},"PeriodicalIF":1.1,"publicationDate":"2025-11-19","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"https://onlinelibrary.wiley.com/doi/epdf/10.1111/manc.70019","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"146154960","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":4,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"OA","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
引用次数: 0
Counter-Cyclical Defaults in Costly State Verification Models 代价高昂的状态验证模型中的反周期默认值
IF 1.1 4区 经济学
Manchester School Pub Date : 2025-11-06 DOI: 10.1111/manc.70015
Michele Piffer
{"title":"Counter-Cyclical Defaults in Costly State Verification Models","authors":"Michele Piffer","doi":"10.1111/manc.70015","DOIUrl":"https://doi.org/10.1111/manc.70015","url":null,"abstract":"<div>\u0000 \u0000 <p>This paper shows that a pro-cyclical risk-free rate can solve the problem of pro-cyclical defaults in costly state verification models. The paper computes numerically the coefficient of a Taylor rule that delivers pro-cyclical output, pro-cyclical capital and counter-cyclical defaults. This parametrization is consistent with the empirical evidence on Taylor rules.</p>\u0000 </div>","PeriodicalId":47546,"journal":{"name":"Manchester School","volume":"94 2","pages":"218-233"},"PeriodicalIF":1.1,"publicationDate":"2025-11-06","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"146147936","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":4,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
引用次数: 0
Can Public Data Opening Improve Green Total Factor Productivity?—A Quasi-Natural Experiment Based on the Opening of Chinese Government Public Data Platforms 公共数据开放能否提高绿色全要素生产率?基于中国政府公共数据平台开放的准自然实验
IF 1.1 4区 经济学
Manchester School Pub Date : 2025-10-29 DOI: 10.1111/manc.70012
Yiqing Lv, Hongsen Wang
{"title":"Can Public Data Opening Improve Green Total Factor Productivity?—A Quasi-Natural Experiment Based on the Opening of Chinese Government Public Data Platforms","authors":"Yiqing Lv,&nbsp;Hongsen Wang","doi":"10.1111/manc.70012","DOIUrl":"https://doi.org/10.1111/manc.70012","url":null,"abstract":"<div>\u0000 \u0000 <p>The opening of public data is a necessary condition for the high-quality development of the digital economy and an important driver for improving green total factor productivity (GTFP) and achieving green and low-carbon economic development. This paper uses the establishment of public data open platforms in Chinese cities as a quasi-natural experiment and conducts an empirical analysis using panel data from 280 cities from 2006 to 2021, employing a multi-period difference-in-differences model to examine whether public data openness can improve GTFP. The study finds that public data openness significantly enhances GTFP, and this conclusion is robust to a battery of robustness tests. Heterogeneity analysis indicates that pilot policies have a stronger effect on improving GTFP in cities with non-resource-based economies, high levels of digital economy development, and strong innovation and entrepreneurship capabilities. Mechanism analysis indicates that public data openness can improve GTFP by promoting urban green technology innovation and optimizing the energy consumption structure. The research conclusions are of great significance for relevant departments in formulating public data policies and energy utilization strategies.</p>\u0000 </div>","PeriodicalId":47546,"journal":{"name":"Manchester School","volume":"94 2","pages":"204-217"},"PeriodicalIF":1.1,"publicationDate":"2025-10-29","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"146148179","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":4,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
引用次数: 0
Aid for Trade Flows and Accession to the World Trade Organization 贸易流动援助和加入世界贸易组织
IF 1.1 4区 经济学
Manchester School Pub Date : 2025-10-23 DOI: 10.1111/manc.70018
Sèna Kimm Gnangnon, Harish Iyer
{"title":"Aid for Trade Flows and Accession to the World Trade Organization","authors":"Sèna Kimm Gnangnon,&nbsp;Harish Iyer","doi":"10.1111/manc.70018","DOIUrl":"https://doi.org/10.1111/manc.70018","url":null,"abstract":"<div>\u0000 \u0000 <p>Existing studies on the determinants of accession to the World Trade Organization (WTO) have neglected the role that Aid for Trade (AfT) flows might have played in the accession process. The present study aims to fill this void in the literature by investigating the association between AfT flows and the probability of joining the WTO. The panel dataset includes 50 economies of which 29 economies that acceded to the WTO under the so-called (WTO Article XII) and 21 NonWTO Members (that act as a control group), with data spanning the period from 2002 to 2021. The empirical analysis has used the random effects logit model, and established that an increase in total AfT flows is associated with a higher probability of joining the WTO. This positive association is primarily driven by AfT interventions that help reduce trade costs, especially AfT for economic infrastructure (that affect the most the probability of WTO entry), followed by AfT flows for trade policy and regulation. The positive asssociation between AfT flows for productive capacities and the WTO entry is significant only at the 10% level. Finally, the magnitude of the positive relationship between total AfT flows and the probability of acceding to the WTO is larger, the lower the real per capita income of developing economies. Relatively advanced developing economies experience no significant association between total AfT flows and the probability of WTO entry. The study, therefore, underlines the critical role that AfT flows may play in easing the WTO accession for developing economies.</p>\u0000 </div>","PeriodicalId":47546,"journal":{"name":"Manchester School","volume":"94 2","pages":"181-203"},"PeriodicalIF":1.1,"publicationDate":"2025-10-23","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"146155065","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":4,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
引用次数: 0
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