IDEAS home Printed from https://ideas.repec.org/a/ovi/oviste/vxixy2019i2p168-173.html
   My bibliography  Save this article

The Underground Economy in Romania

Author

Listed:
  • Veronica Popovici

    (†Ovidius†University of Constanta)

  • Norina Popovici

    (†Ovidius†University of Constanta)

  • Camelia Mihai

    (†Ovidius†University of Constanta)

Abstract

In recent decades, the underground economy has become an obstacle to economic development, all the more so neither its size nor its evolution are known exactly. The activities associated with the phenomenon of the underground economy are concrete realities, met throughout the world. For a state to be able to efficiently allocate resources, it is essential to have information about the magnitude of the underground economy, the activities involved in this process and their frequency, the people involved. However, it is very difficult to analyze and measure the underground economic activities, the labor force or the goods involved, since the people involved in this type of activities do not want to be identified. The purpose of this paper is to quantify the size of the Romanian underground economy and to identify the main factors that contribute to its growth.

Suggested Citation

  • Veronica Popovici & Norina Popovici & Camelia Mihai, 2019. "The Underground Economy in Romania," Ovidius University Annals, Economic Sciences Series, Ovidius University of Constantza, Faculty of Economic Sciences, vol. 0(2), pages 168-173, December.
    • Handle: RePEc:ovi:oviste:v:xix:y:2019:i:2:p:168-173
    as

    Download full text from publisher

    File URL: http://stec.univ-ovidius.ro/html/anale/RO/wp-content/uploads/2020/02/Section%20II/14.pdf
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Tanzi, Vito & Schuknecht, Ludger, 1997. "Reconsidering the Fiscal Role of Government: The International Perspective," American Economic Review, American Economic Association, vol. 87(2), pages 164-168, May.
    2. Leandro Medina & Mr. Friedrich Schneider, 2018. "Shadow Economies Around the World: What Did We Learn Over the Last 20 Years?," IMF Working Papers 2018/017, International Monetary Fund.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. López-Herrera, Carmen & Cordero, José M. & Pedraja-Chaparro, Francisco & Polo, Cristina, 2023. "Fiscal rules and their influence on public sector efficiency," MPRA Paper 119018, University Library of Munich, Germany.
    2. Ndoya, Hermann & Okere, Donald & Belomo, Marie laure & Atangana, Melissa, 2023. "Does ICTs decrease the spread of informal economy in Africa?," Telecommunications Policy, Elsevier, vol. 47(2).
    3. Ligita Gasparėnienė & Rita Remeikienė & Colin C. Williams, 2022. "Unemployment and the Informal Economy," SpringerBriefs in Economics, Springer, number 978-3-030-96687-4, October.
    4. Friedrich Schneider & Mangirdas Morkunas & Erika Quendler, 2021. "Measuring the Immeasurable: The Evolution of the Size of Informal Economy in the Agricultural Sector in the EU-15 up to 2019," CESifo Working Paper Series 8937, CESifo.
    5. Ant—nio Afonso & Ludger Schuknecht & Vito Tanzi, 2023. "The size of government," Chapters, in: António Afonso & João Tovar Jalles & Ana Venâncio (ed.), Handbook on Public Sector Efficiency, chapter 1, pages 6-31, Edward Elgar Publishing.
    6. Aga,Gemechu A. & Campos,Francisco Moraes Leitao & Conconi,Adriana & Davies,Elwyn Adriaan Robin & Geginat,Carolin, 2021. "Informal Firms in Mozambique : Status and Potential," Policy Research Working Paper Series 9712, The World Bank.
    7. Piotr Dybka & Bartosz Olesiński & Marek Rozkrut & Andrzej Torój, 2023. "Measuring the model uncertainty of shadow economy estimates," International Tax and Public Finance, Springer;International Institute of Public Finance, vol. 30(4), pages 1069-1106, August.
    8. Anda David & Yoro Diallo & Björn Nilsson, 2023. "Informality and Inequality: The African Case," Journal of African Economies, Centre for the Study of African Economies, vol. 32(Supplemen), pages 273-295.
    9. Christl, Michael & Köppl-Turyna, Monika & Kucsera, Dénes, 2018. "Public sector efficiency in Europe: Long-run trends, recent developments and determinants," Working Papers 14, Agenda Austria.
    10. Åsa Johansson, 2016. "Public Finance, Economic Growth and Inequality: A Survey of the Evidence," OECD Economics Department Working Papers 1346, OECD Publishing.
    11. Luc Jacolin & Joseph Keneck Massil & Alphonse Noah, 2021. "Informal sector and mobile financial services in emerging and developing countries: Does financial innovation matter?," The World Economy, Wiley Blackwell, vol. 44(9), pages 2703-2737, September.
    12. Phoebe W. Ishak & Mohammad Reza Farzanegan, 2022. "Oil price shocks, protest, and the shadow economy: Is there a mitigation effect?," Economics and Politics, Wiley Blackwell, vol. 34(2), pages 298-321, July.
    13. Adriana AnaMaria Davidescu & Tamara Maria Nae & Margareta-Stela Florescu, 2022. "Exploring the Moderation and Mediation Effects in Addressing the Main Determinants of Income Inequalities in Supporting Quality of Life: Insights from CEE Countries," IJERPH, MDPI, vol. 19(14), pages 1-28, July.
    14. Ohnsorge, Franziska & Capasso, Salvatore & Yu, Shu, 2022. "From Financial Development to Informality: A Causal Link," CEPR Discussion Papers 17565, C.E.P.R. Discussion Papers.
    15. Asem Alshami, 2016. "Theoretical Evidences Regarding Methodologies Of Calculating Efficiency Of Public Sector," Management Strategies Journal, Constantin Brancoveanu University, vol. 34(4), pages 88-94.
    16. E. Moreva L. & Е. Морева Л., 2018. "Неформальная экономика и инновации: contra et pro // Informal Economy and Innovation: Contra et Pro," Экономика. Налоги. Право // Economics, taxes & law, ФГОБУ "Финансовый университет при Правительстве Российской Федерации" // Financial University under The Government of Russian Federation, vol. 11(5), pages 38-47.
    17. Pedro Jucá Maciel, 2008. "Public investment or public-private partnership? A decision rule based on indiference curve of public ineficency and private risk premium," Anais do XXXVI Encontro Nacional de Economia [Proceedings of the 36th Brazilian Economics Meeting] 200807211141020, ANPEC - Associação Nacional dos Centros de Pós-Graduação em Economia [Brazilian Association of Graduate Programs in Economics].
    18. Arjona Trujillo, Ana María, 2002. "La corrupción política: una revisión de la literatura," DE - Documentos de Trabajo. Economía. DE de021404, Universidad Carlos III de Madrid. Departamento de Economía.
    19. Canh Phuc Nguyen & Su Dinh Thanh & Bach Nguyen, 2022. "Economic uncertainty and tourism consumption," Tourism Economics, , vol. 28(4), pages 920-941, June.
    20. Stephen Esaku, 2022. "Institutionalized democracy and the shadow economy in the short- and long-run: empirical analysis from Uganda," Palgrave Communications, Palgrave Macmillan, vol. 9(1), pages 1-12, December.

    More about this item

    Keywords

    tax evasion; corruption; underground economy;
    All these keywords.

    JEL classification:

    • E26 - Macroeconomics and Monetary Economics - - Consumption, Saving, Production, Employment, and Investment - - - Informal Economy; Underground Economy
    • H26 - Public Economics - - Taxation, Subsidies, and Revenue - - - Tax Evasion and Avoidance
    • O17 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Formal and Informal Sectors; Shadow Economy; Institutional Arrangements

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ovi:oviste:v:xix:y:2019:i:2:p:168-173. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Gheorghiu Gabriela (email available below). General contact details of provider: https://edirc.repec.org/data/feoviro.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.