Application of Economic Psychology to encourage Voluntary Compliance with Tax Obligations in Paraguay by 2022

Abstract

Currently, one of the greatest challenges is to strengthen and improve tax collection; because they represent an oppor- tunity to guarantee public funds without resorting to indebtedness. Therefore, it is important to analyze how the State can improve tax collection in the country, to a level that allows alleviating pressures on public finances, so that this can be transformed into improving the quality of life of taxpayers. The general objective of this research is to analyze the application of economic psychology to encourage voluntary compliance with tax obligations in Paraguay by 2022: a qualitative analysis was proposed with a purely documentary and descriptive case study approach, the information collected It was classified, structured in order to achieve the stated objectives, behavioral economics or economic psychology was taken into account as the main variable, which defines how psychological, social or cognitive factors affect the economic decisions of individuals, groups and organizations. organizations. Thus, the field of economic psychology would be the application of psychology to economic behavior, in the areas of intersection between psy- chology and economics, therefore, in the behavior of the citizen in the face of tax obligations: in this case the author concludes that governments must take into account the communication method they use, since each one has a differ- ent effect on how citizens internalize the message, as well as, considering the experience that has just happened with COVID-19, the author considers that this situation evidenced that behaviors can be adequate for the desired purposes, if the appropriate tools are used.