No Taxation Without Administration: Bringing The State Back Into The Public Finance Of Developing Countries / Anders Jensen, Jonathan L. Weigel.

Format:

Book

Author/Creator:

Jensen, Anders.

Contributor:

Weigel, Jonathan L.

National Bureau of Economic Research.

Series:

Working Paper Series (National Bureau of Economic Research) no. w34729.

NBER working paper series no. w34729

Language:

English

Physical Description:

1 online resource: illustrations (black and white);

Place of Publication:

Cambridge, Mass. National Bureau of Economic Research 2026.

Summary:

The empirical economics literature on taxation in developing countries has centered on the importance of third-party information for enforcement. Yet, while surely a long-run objective, leveraging such information remains out of reach in many developing countries due to largely informal economies and low state capacity. This article examines an emerging complementary literature focused on strengthening the 'sinews' of state capacity: tax administration. We argue that reforms to the organizational structure, personnel management, and task management of tax authorities have potential to raise tax capacity in developing countries. We also argue that efforts to improve the state's legitimacy - popular acceptance of its right to tax - can increase capacity and may complement investments in tax administration. Our approach bridges a long-standing divide between how scholars in public finance and political economy approach tax capacity building in developing countries.

Notes:

January 2026.

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