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Title:Shadow Economies around the World: What do we really know? PDF Logo
Authors:Schneider, Friedrich G.
Issue Date:2004
Series/Report no.:IAW-Diskussionspapiere 16
Abstract:Using the DYMIMIC approach, estimates of the shadow economy in 110 developing, transition and developed OECD countries are presented. The average size of the shadow economy (in percent of official GDP) over 1999-2000 in developing countries is 41%, in transition countries 38% and in OECD countries 17%. An increasing burden of taxation and social security contributions are the driving forces of the shadow economy. If the shadow economy increases by one percent the growth rate of the ?official? GDP of a developing (of a developed and/or transition) country decreases by 0.6% (increases by 0.8 and 1.0% respectively).
Subjects:shadow economy
interaction of the shadow economy with the official one
tax burden
government regulation
DYMIMIC method
JEL:H11
H2
H26
D78
O5
O17
Document Type:Working Paper
Appears in Collections:IAW-Diskussionspapiere, Institut für Angewandte Wirtschaftsforschung (IAW)

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