Publication: Tariff Evasion and Customs Corruption : Does Pre-Shipment Inspection Help?
Date
2003-10
ISSN
Published
2003-10
Author(s)
Anson, Jose
Cadot, Olivier
Olarreaga, Marcelo
Abstract
The authors provide a new approach to
the evaluation of pre-shipment inspection (PSI) programs as
ways of improving tariff-revenue collection and reducing
fraud when customs administrations are corrupt. They build a
model highlighting the contribution of surveillance firms to
the generation of information and describing how incentives
for fraud and collusive behavior between importers and
customs are affected by the introduction of PSI. The authors
show theoretically that the introduction of PSI has an
ambiguous effect on the level of customs fraud. Empirically,
the econometric results suggest that PSI reduced fraud in
the Philippines, it increased it in Argentina, and did not
have significant impact in Indonesia.
Citation
“Anson, Jose; Cadot, Olivier; Olarreaga, Marcelo. 2003. Tariff Evasion and Customs Corruption : Does Pre-Shipment Inspection Help?. Policy Research Working Paper;No. 3156. © World Bank, Washington, DC. http://openknowledge.worldbank.org/handle/10986/18046 License: CC BY 3.0 IGO.”
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