The Shadow Economy
Friedrich Schneider & Colin C. Williams, The Shadow Economy, Institute of Economic Affairs, 2013
96 Pages Posted: 30 Jun 2013
Date Written: June 1, 2013
A review of the size and nature of the shadow economy and what might be done to tackle it.
Reducing tax evasion, the shadow economy and informal employment has been an important policy goal in OECD countries during recent decades. The shadow economy is notoriously difficult to measure, however. Given the difficulties in measuring the shadow economy, statistical work on its causes and how to deal with it is especially problematic. Nevertheless, data is available that can help us explore these issues. But, why is it important to try to know more about the shadow economy?
Keywords: shadow economy, informal employment, informal economy, undeclared work
JEL Classification: O26
Suggested Citation: Suggested Citation