?url_ver=Z39.88-2004&rft_val_fmt=info%3Aofi%2Ffmt%3Akev%3Amtx%3Adc&rft.relation=http%3A%2F%2Feprints.imtlucca.it%2F1623%2F&rft.title=The+%E2%80%9Cemersion%E2%80%9D+effect%3A+an+ex+post+and+ex+ante+social+program+evaluation+on+labor+tax+evasion+in+Italy&rft.creator=Di+Porto%2C+Edoardo&rft.creator=Elia%2C+Leandro&rft.creator=Tealdi%2C+Cristina&rft.subject=DG+Italy&rft.subject=HB+Economic+Theory&rft.subject=HD+Industries.+Land+use.+Labor&rft.description=We+analyze+how+different+policy+interventions+may+incentive+the+transition+of+workers+from+the+informal+to+the+formal+sector.+We+use+Italian+data+over+the+period+1998-2008+to+evaluate+ex+post+whether+the+2003+Italian+labor+market+reform+was+able+to+reach+the+objective+to+reduce+the+share+of+shadow+employment.+Based+on+our+empirical+results%2C+we+develop+an+ex+ante+evaluation+based+on+a+search+and+matching+model%2C+%C3%A1+la+Mortensen+and+Pissarides+to+determine+the+right+combination+of+policy+interventions+which+may+be+effective+in+generating+a+significant+reduction+in+undeclared+work+together+with+an+expansion+of+the+formal+sector.+We+find+that+in+an+economy+where+permanent+and+temporary+contracts+coexist%2C+the+combination+of+lower+payroll+taxes+for+permanent+jobs+and+higher+probability+of+being+audited+generates+a+compression+of+the+informal+sector%2C+leaving+unemployment+unchanged.+A+similar+result+can+be+obtained+through+a+reduction+of+the+firing+cost+associated+with+permanent+jobs%2C+even+though+this+causes+temporary+contracts+to+increase+relatively+more+than+permanent+contracts.&rft.publisher=IMT+Institute+for+Advanced+Studies+Lucca&rft.date=2013-06&rft.type=Working+Paper&rft.type=NonPeerReviewed&rft.format=application%2Fpdf&rft.language=en&rft.identifier=http%3A%2F%2Feprints.imtlucca.it%2F1623%2F1%2FEIC_WP_2_2013.pdf&rft.identifier=++Di+Porto%2C+Edoardo+and+Elia%2C+Leandro+and+Tealdi%2C+Cristina++The+%E2%80%9Cemersion%E2%80%9D+effect%3A+an+ex+post+and+ex+ante+social+program+evaluation+on+labor+tax+evasion+in+Italy.++EIC+working+paper+series++%232%2F2013++++IMT+Institute+for+Advanced+Studies+Lucca++++ISSN+2279-6894.++++++