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Quantitative Techniques used for the Informal Economy Analysis at National and Regional Level

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  • Tudorel ANDREI
  • Andreea Iluzia IACOB
  • Stelian STANCU
  • Bogdan OANCEA

Abstract

The main issues in the informal economy domain are related to its definition, quantification, its position at the level of national economy and the application of econometric models to quantify its effects on economic and social development, at national and regional level. In order to evaluate the informal economy is presented the Ahumada’s model (2007). Using data series from the official statistics we made estimations of the informal economy for Romania for 2000-2009 time period. The obtained results for the ratio between cash transactions from the informal economy and the ones from the formal economy indicate that this one is situated between 24 and almost 41%. The parameter estimation for the applied regression models was realized using EViews software.

Suggested Citation

  • Tudorel ANDREI & Andreea Iluzia IACOB & Stelian STANCU & Bogdan OANCEA, 2010. "Quantitative Techniques used for the Informal Economy Analysis at National and Regional Level," Informatica Economica, Academy of Economic Studies - Bucharest, Romania, vol. 14(3), pages 153-164.
    • Handle: RePEc:aes:infoec:v:14:y:2010:i:3:p:153-164
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    References listed on IDEAS

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    1. Karl Aiginger & Michael Pfaffermayr, 2004. "The Single Market and Geographic Concentration in Europe," Review of International Economics, Wiley Blackwell, vol. 12(1), pages 1-11, February.
    2. Ahumada, Hildegart & Alvaredo, Facundo & Canavese, Alfredo J., 2006. "The Demand for Currency Approach and the Size of the Shadow Economy: A Critical Assessment," Berkeley Olin Program in Law & Economics, Working Paper Series qt6zn9p98b, Berkeley Olin Program in Law & Economics.
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    Cited by:

    1. Daianu, Daniel & Kallai, Ella & Lungu, Laurian, 2012. "Tax Policy under the Curse of Low Revenues: The Case of Romania (Part I)," Journal for Economic Forecasting, Institute for Economic Forecasting, vol. 0(1), pages 156-186, March.

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