The Research Department of Economics and Management of Tadbir Nikan Business, Marketing, and Finance Open 3092-6238 In Press 2027 03 01 Threshold Effects of Government Governance Quality on the Relationship Between Culture, Economic Freedom, Oil Volatility Spillovers, and Tax Avoidance in Selected Oil-Producing Countries Threshold Effects of Government Governance Quality on the Relationship Between Culture, Economic Freedom, Oil Volatility Spillovers, and Tax Avoidance in Selected Oil-Producing Countries 1 18 EN Journal Article 2026 02 01 <p>The present study aims to investigate the threshold effects of government governance quality on the relationship between culture, economic freedom, oil volatility spillovers, and tax avoidance in selected oil-producing countries. Due to the limited availability of reliable data on tax avoidance, many researchers have employed various methods to estimate it, some of which directly and others indirectly measure tax avoidance and tax evasion. In the current study, the Tanzi currency demand approach was used to estimate the volume of tax avoidance and tax evasion. The study is applied in terms of purpose and descriptive-analytical in nature, and it falls within the category of ex post facto research. The research model was estimated using panel data for selected countries over the period 1995–2024 through the Panel Smooth Transition Regression (PSTR) approach. The statistical population consisted of selected oil-producing countries, including Iran, Kuwait, Qatar, Saudi Arabia, the United Arab Emirates, Venezuela, and Algeria. According to the model estimation results, in the nonlinear component of the model, the coefficients of the cultural index variables, including H and CI, were -0.120704 and -0.496421, respectively, indicating an inverse relationship between these cultural dimensions and tax avoidance in the selected oil-producing countries. The corresponding p-values for these coefficients were 0.0487 and 0.0069, respectively, demonstrating that these effects are statistically significant at the 95% confidence level. Furthermore, the coefficient of the economic freedom variable was -0.394485, with a corresponding probability value below 0.05, indicating a negative and statistically significant effect of economic freedom on tax avoidance in the selected oil-producing countries. In the nonlinear part of the model, the coefficient of government governance quality was negative and statistically significant at the 5% significance level.</p> https://bmfopen.com/index.php/bmfopen/article/download/464/351