Services on Demand
Journal
Article
Indicators
- Cited by SciELO
- Access statistics
Related links
- Similars in SciELO
Share
Revista Economía y Política
On-line version ISSN 2477-9075
Abstract
HERMIDA, Priscila and PETROVIC, Nikola. Human capital, social capital and tax avoidance in Ecuador: a regional perspective. Revista Economía y Política [online]. 2021, n.33, pp.64-85. Epub 15, 2021. ISSN 2477-9075. https://doi.org/https://doi.org/10.25097/rep.n33.2021.04.
This paper explores the relationship between human capital, social capital (the strength of social norms and networks at the community level) and corporate tax avoidance practices. Using data for Ecuador, it finds that the proportion of accountants and occupational diversity at the canton level are negatively associated with tax avoidance, approximated by the effective income tax rate. This relationship is more pronounced for companies that do not belong to any economic group. Social capital appears to play a mediating role between human capital and tax avoidance practices. The results contribute to the existing literature on the role of social capital in regional development and highlight the role of non-economic social incentives in business practices.
Keywords : tax avoidance; human capital externalities; social capital; regional economics..