@article {11384,
	title = {Government size and tax evasion: evidence from china},
	journal = {Pacific Economic Review},
	volume = {20},
	year = {2015},
	month = {2015/5},
	pages = {346-364},
	chapter = {346},
	abstract = {This paper investigates how government size affects tax evasion in China. Using matched county-firm data for 1998-2005, we estimate the impact of county government size on the relationship between a firm{\textquoteright}s reported profit and imputed profit based on the national income accounts. A larger government is found to be correlated with more severe tax evasion, especially for state-owned and collectively-owned firms. Such an effect is stronger when local governance become worse. This paper shows that a large government does not bring about a strong state capacity to enforce tax rules at the local level in China.},
	isbn = {1361-374X},
	doi = {10.1111/1468-0106.12110},
	author = {Li, Lixing;  *Ma, Guangrong}
}
