摘要：This paper develops a four-sector equilibrium search and matching model with informal sector employment opportunities and educational choice.We show that underground activities reduce educational attainments if informal employment opportunities mainly are available for low-educated workers.A more zealous enforcement policy will in this case improve educational incentives as it reduces the attractiveness of remaining a low-educated worker.However, unemployment also increases.Characterizing the optimal enforcement policies, we find that relatively more audits should be targeted towards the sector employing low-educated workers; elsewise, a too low stock of educated workers is materialized.
关键词：Tax evasion; The informal sector; Education; Matching; Unemployment
