Counterfeiting in Italian regions: an empirical analysis based on new data

Abstract
Purpose – The purpose of this paper is to examine the counterfeiting process in Italy, at a subnational
level.
Design/methodology/approach – The paper uses panel data estimators and mixture models
regression.
Findings – The paper !nds that homogeneous clusters of regions could be derived, as a result of
economic and geographical reasons. Moreover, household and public administration expenditure,
indirect taxation, foreigners/population ratio and the number of ports have a positive impact on the
counterfeiting diffusion index.
Practical implications – The paper is practical as a source of reference in contrasting counterfeiting
process.
Originality/value – The paper uses new data applying recent econometric techniques to !nd
homogeneous groups of regions on counterfeiting index.
Keywords Counterfeiting, Panel data, Italian regions
Paper type Research paper