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The Shadow Economy in Portugal: An Analysis with the Mimic Approach

Journal of Applied Economics, Vol. 10, No. 2, pp. 253-277, November 2007

Posted: 6 Dec 2007

See all articles by Roberto Dell'Anno

Roberto Dell'Anno

University of Salerno - Dept. of Economics and Statistics; Centre of Labour Economics and Economic Policy (CELPE)

Abstract

The paper estimates the Portuguese Shadow Economy (SE) from 1977 to 2004 and tests the statistical relationships between the SE and other economic variables. In order to carry out the econometric analysis, a multiple indicators multiple causes (MIMIC) model with means and intercepts is applied. The main causes of the Portuguese SE are analyzed and economic policies to reduce it are suggested. An appraisal on the reliability of estimates and an alternative benchmark strategy for the MIMIC approach are proposed.

Keywords: shadow economy, MIMIC model, Portugal

JEL Classification: O17, H10, H26, C39

Suggested Citation

Dell'Anno, Roberto, The Shadow Economy in Portugal: An Analysis with the Mimic Approach. Journal of Applied Economics, Vol. 10, No. 2, pp. 253-277, November 2007, Available at SSRN: https://ssrn.com/abstract=1064301

Roberto Dell'Anno (Contact Author)

University of Salerno - Dept. of Economics and Statistics ( email )

Centre of Labour Economics and Economic Policy (CELPE)

Università di Salerno
Via ponte don Melillo
Fisciano, SA 84084
Italy

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