Testing the Mill hypothesis of fiscal illusion


According to the “Mill hypothesis”, the tax burden from indirect taxation is underestimated because indirect taxes are less “visible” than direct taxes. We experimentally test the Mill hypothesis and identify tax framing as a cause of fiscal illusion. We find that the tax burden associated with an indirect tax is underestimated, whereas this is not the case… (More)


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Citations per Year

Citation Velocity: 6

Averaging 6 citations per year over the last 3 years.

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