Income hiding and informal redistribution: A lab-in-the-field experiment in Senegal

Paola Villar, Marie Boltz, Karine Marazyan

Résultats de recherche: Contribution à un journal/une revueArticleRevue par des pairs


We estimate the hidden cost of social obligations to redistribute exploiting data from a controlled setting in urban Senegal, which combines lab-in-the-field measures and out-of-lab follow-up data. We estimate a social tax of about 9 percent. When given the opportunity to get hidden income, individuals decrease by 26 percent the share of gains they transfer to kin — mostly outside the household — and increase health and personal expenses. We expand on prior literature by both identifying the individual cost of informal redistribution and then relating it to postexperiment resource-allocation decisions, and by disentangling intra- and interhousehold redistributive pressure.
langue originaleAnglais
Pages (de - à)78-92
Nombre de pages15
journalJournal of Development Economics
Les DOIs
Etat de la publicationPublié - 1 mars 2019

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