A Study of the Impact of Underground Economy on Integral Tax Burden in the Proportional Growth Model under Uncertainty
Economic processes are naturally characterized by imprecise and uncertain relevant information. One of the main reasons is existence of an underground economy. However, in existing works, real-world imprecision and uncertainty of economic conditions are not taken into account. In this paper we consi...
Saved in:
| Main Authors: | , |
|---|---|
| Format: | Article |
| Language: | English |
| Published: |
Wiley
2018-01-01
|
| Series: | Advances in Fuzzy Systems |
| Online Access: | http://dx.doi.org/10.1155/2018/6309787 |
| Tags: |
Add Tag
No Tags, Be the first to tag this record!
|
| _version_ | 1832563539458392064 |
|---|---|
| author | Akif Musayev Aygun Musayeva |
| author_facet | Akif Musayev Aygun Musayeva |
| author_sort | Akif Musayev |
| collection | DOAJ |
| description | Economic processes are naturally characterized by imprecise and uncertain relevant information. One of the main reasons is existence of an underground economy. However, in existing works, real-world imprecision and uncertainty of economic conditions are not taken into account. In this paper we consider a problem of calculation of a taxation base to assess tax burden for proportionally growing economy under uncertainty. In order to account for imprecision and uncertainty of economic processes, we use the theory of fuzzy sets. A fuzzy integral equation is used to identify an integral tax burden taking into account the contribution of the underground economy for a certain financial (tax) year. It is also assumed that dynamics of gross domestic product are modeled by fuzzy linear differential equation. An optimal value of tax burden is determined as a solution to the considered fuzzy integral equation. An example is provided to illustrate validity of the proposed study. |
| format | Article |
| id | doaj-art-04bdd826a1684b44bec82834ffcb5c23 |
| institution | Kabale University |
| issn | 1687-7101 1687-711X |
| language | English |
| publishDate | 2018-01-01 |
| publisher | Wiley |
| record_format | Article |
| series | Advances in Fuzzy Systems |
| spelling | doaj-art-04bdd826a1684b44bec82834ffcb5c232025-02-03T01:13:07ZengWileyAdvances in Fuzzy Systems1687-71011687-711X2018-01-01201810.1155/2018/63097876309787A Study of the Impact of Underground Economy on Integral Tax Burden in the Proportional Growth Model under UncertaintyAkif Musayev0Aygun Musayeva1Institute of Economics, Azerbaijan National Academy of Sciences, Baku, AzerbaijanAzerbaijan University, Baku, AzerbaijanEconomic processes are naturally characterized by imprecise and uncertain relevant information. One of the main reasons is existence of an underground economy. However, in existing works, real-world imprecision and uncertainty of economic conditions are not taken into account. In this paper we consider a problem of calculation of a taxation base to assess tax burden for proportionally growing economy under uncertainty. In order to account for imprecision and uncertainty of economic processes, we use the theory of fuzzy sets. A fuzzy integral equation is used to identify an integral tax burden taking into account the contribution of the underground economy for a certain financial (tax) year. It is also assumed that dynamics of gross domestic product are modeled by fuzzy linear differential equation. An optimal value of tax burden is determined as a solution to the considered fuzzy integral equation. An example is provided to illustrate validity of the proposed study.http://dx.doi.org/10.1155/2018/6309787 |
| spellingShingle | Akif Musayev Aygun Musayeva A Study of the Impact of Underground Economy on Integral Tax Burden in the Proportional Growth Model under Uncertainty Advances in Fuzzy Systems |
| title | A Study of the Impact of Underground Economy on Integral Tax Burden in the Proportional Growth Model under Uncertainty |
| title_full | A Study of the Impact of Underground Economy on Integral Tax Burden in the Proportional Growth Model under Uncertainty |
| title_fullStr | A Study of the Impact of Underground Economy on Integral Tax Burden in the Proportional Growth Model under Uncertainty |
| title_full_unstemmed | A Study of the Impact of Underground Economy on Integral Tax Burden in the Proportional Growth Model under Uncertainty |
| title_short | A Study of the Impact of Underground Economy on Integral Tax Burden in the Proportional Growth Model under Uncertainty |
| title_sort | study of the impact of underground economy on integral tax burden in the proportional growth model under uncertainty |
| url | http://dx.doi.org/10.1155/2018/6309787 |
| work_keys_str_mv | AT akifmusayev astudyoftheimpactofundergroundeconomyonintegraltaxburdenintheproportionalgrowthmodelunderuncertainty AT aygunmusayeva astudyoftheimpactofundergroundeconomyonintegraltaxburdenintheproportionalgrowthmodelunderuncertainty AT akifmusayev studyoftheimpactofundergroundeconomyonintegraltaxburdenintheproportionalgrowthmodelunderuncertainty AT aygunmusayeva studyoftheimpactofundergroundeconomyonintegraltaxburdenintheproportionalgrowthmodelunderuncertainty |