IDEAS home Printed from https://ideas.repec.org/
MyIDEAS: Login to save this article or follow this journal

Application Of Monetary Models For Estimating Underground Economy In Romania

  • CORINA MARIA ENE

    ()

    (Hyperion University from Bucharest, Romania)

  • CARMEN MARILENA UZLAU

    ()

    (Institute for Economic Forecasting, Romania)

Article addresses the issue of sizing the underground economy by recognized methods in the literature based on empirical data provided by official statistics in Romania. The monetary method to assess non-accounted economy dynamics studies to date has defined two types of measurements in terms of velocity of money. The first is the accountability one, used in banking statistics, calculated by reporting GDP to the money supply from the M2 point of view, and the second was called operational, considered to be the real one, meaning the equivalence between the volume of transactions and the GDP (including commercial credit) which comes for the monetary unit. The relationship between the two methods was achieved by means of a β coefficient, which measures the monetary distortion induced by arrears and the disturbing form of "dollarization" of the economy. Also to be noted that there are not yet adequate information and a suitable algorithm to reasonably approximate the output size of unreported taxable income, of household production for own consumption and of illegal economic activities. Therefore, we must resort to partial estimates, and their use must be considered with care all the conceptual and statistical assumptions on which they rely.

If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.

File URL: http://mef.univnt.ro/wp-content/uploads/MEF/2011/mef-01.11.pdf
File Function: First version, 2012
Download Restriction: no

Article provided by ROMANIAN ACADEMY – INSTITUTE FOR ECONOMIC FORECASTING & "Nicolae Titulescu" University of Bucharest, Faculty of Economic Sciences in its journal New Trends in Modelling and Economic Forecast (MEF 2011).

Volume (Year): 1 (2012)
Issue (Month): 1 (January)
Pages: 140-151

as
in new window

Handle: RePEc:ntu:ntumef:vol1-iss1-12-140
Contact details of provider: Web page: http://www.ipe.ro/
Email:

Phone: +040.21.330.90.32
Fax: +040.21.330.86.08
Web page: http://www.univnt.ro/
Email:


More information through EDIRC

No references listed on IDEAS
You can help add them by filling out this form.

This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.

When requesting a correction, please mention this item's handle: RePEc:ntu:ntumef:vol1-iss1-12-140. See general information about how to correct material in RePEc.

For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Lucian Liviu ALBU)

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 references are entirely missing, you can add them using this form.

If the full references list an item that is present in RePEc, but the system did not link 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 profile, as there may be some citations waiting for confirmation.

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

This information is provided to you by IDEAS at the Research Division of the Federal Reserve Bank of St. Louis using RePEc data.