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Entrepreneurship and the Shadow (Informal) Economy

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  • Akbal, Can

Abstract

In this paper, we investigate the empirical relationship between entrepreneurship and the shadow economy size. To this end, we use cross-country data and most-frequently-used measure of the entrepreneurial activity, i.e., Global Entrepreneurship Index (GEI), as well as its subindices, and calculate correlations of these indices with the size of the informal sector and its major determinants. Our analysis indicates that there are significant correlations between the variables involved.

Suggested Citation

  • Akbal, Can, 2021. "Entrepreneurship and the Shadow (Informal) Economy," MPRA Paper 109739, University Library of Munich, Germany.
    • Handle: RePEc:pra:mprapa:109739
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    File URL: https://mpra.ub.uni-muenchen.de/109739/1/MPRA_paper_109739.pdf
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    References listed on IDEAS

    as
    1. Colin C. Williams & Sara Nadin, 2011. "Evaluating entrepreneurs in the shadow economy: economic or social entrepreneurship?," International Journal of Management and Enterprise Development, Inderscience Enterprises Ltd, vol. 11(1), pages 20-33.
    2. Saul Estrin & Tomasz Mickiewicz, 2012. "Shadow Economy and Entrepreneurial Entry," Review of Development Economics, Wiley Blackwell, vol. 16(4), pages 559-578, November.
    3. Rajeev Goel & James Saunoris & Xingyuan Zhang, 2015. "Innovation and underground entrepreneurship," The Journal of Technology Transfer, Springer, vol. 40(5), pages 800-820, October.
    4. Colin C. Williams & Sara Nadin, 2011. "Theorising the hidden enterprise culture: the nature of entrepreneurship in the shadow economy," International Journal of Entrepreneurship and Small Business, Inderscience Enterprises Ltd, vol. 14(3), pages 334-348.
    5. Ceyhun Elgin & Oguz Oztunali, 2012. "Shadow Economies around the World: Model Based Estimates," Working Papers 2012/05, Bogazici University, Department of Economics.
    6. Travis Wiseman, 2015. "Entrepreneurship, corruption, and the size of US underground economies," Journal of Entrepreneurship and Public Policy, Emerald Group Publishing Limited, vol. 4(3), pages 313-330, November.
    Full references (including those not matched with items on IDEAS)

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    More about this item

    Keywords

    Entrepreneurship; shadow economy; cross-country data;
    All these keywords.

    JEL classification:

    • E00 - Macroeconomics and Monetary Economics - - General - - - General
    • H00 - Public Economics - - General - - - General

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