TY - GEN A1 - Schnellenbach, Jan T1 - Tax Morale and the Legitimacy of Economic Policy T2 - Homo Oeconomicus N2 - It is proposed that a more accurate prediction of tax evasion activity than in the standard portfolio-choice model can be derived even for risk-neutral individuals if psychological costs are considered. Contrary to earlier models integrating psychological costs they are systematically derived by assuming a relationship between psychological costs, taxpayer satisfaction with public policy and taxes evaded. A formal concept of legitimacy of public policies is introduced and it is shown that legitimacy influences evasion activity. KW - Tax evasion KW - Tax morale KW - economics and psychology KW - political legitimacy Y1 - 2007 SN - 0943-0180 VL - 24 IS - 1 SP - 21 EP - 45 ER -