While the importance of fostering individual taxpayers’ (hereafter taxpayers) trust in government to encourage tax compliance is widely acknowledged, how policy actions can increase trust in government remains unclear. Thus, the main purpose of our research is to see whether policy actions that signal government benevolence during a crisis can quickly increase trust in government, and its positive implications for tax compliance intentions. Another goal of our research is to see whether such a quick change of trust is driven by (...) emotions. To test this, we use the British COVID-19 Self-Employment Income Support Scheme (hereafter SEISS) as a natural experiment. Right after the SEISS was launched to the British public, we recruited a sample of 500 British self-employed taxpayers via Prolific. Our results suggest that receiving (vs. not receiving) government support increases trust in government and enhances tax compliance intentions. In addition, trust in government mediates the positive impact of receiving (vs. not receiving) government support on tax compliance intentions. More important, our results suggest that policy actions that signal government benevolence during a crisis can increase trust in government quickly because it is driven by taxpayers’ emotions such as gratitude. These results have important implications for governments to efficiently deal with the sharp rise in public debts caused by the COVID-19 pandemic. (shrink)

Draw on the protection motivation theory, this study investigated the impacts of intolerance of uncertainty on “untact” buying behavior, and examined the sequential mediating role of the perceived risk of COVID-19 variants and protection motivation. A total of 1,564 young individuals participated in the survey. The serial mediation analysis results reveal that intolerance of uncertainty influences one’s “untact” buying behavior through “perceived risk of COVID-19 variants - protection motivation.” Both internal and external factors worked together to accelerate the transition of (...) individuals’ consumption behavior during COVID-19 pandemic. Therefore, our findings generate important implications for public mental health and economic recovery in the post-COVID-19 era. (shrink)