Projects

Distributional Effects of Misreporting in International Trade in Services

doc. Ing. Brian König, PhD.

Members of project
Adamu Braimah Abille, M.A., Ing. Boris Fišera, PhD., Ing. Filip Ostrihoň, PhD., Prof. Dr. Ing. Menbere Workie Tiruneh, PhD.

• Basic informations
• Characteristics

• Duration of the project: 01/2024 - 12/2026
  ID number: VEGA 2/0165/24

   

• The service sector and its role in international trade have experienced significant growth in recent years. International trade in services has become one of the main sources of economic growth and it represents a significant source of competitiveness for companies. However, international trade is often used as a means of illicit financial flows through trade misinvoicing. The main objective of the project is to obtain estimates of illicit financial flows that originate due to the misreporting in international trade in services and to empirically investigate the effect of these illicit financial flows on income inequality. The project will rely on two key approaches to estimate volumes of misreporting in international trade in services for a global sample of countries: An approach based on the analysis of different reported values in international trade on the importer and exporter side, and an approach based on the analysis of the unexplained volume of international trade through the gravity model.