Inclusive Growth, Institutions, and the Underground Economy /

Worldwide protests against the perceived lack of economic opportunity and failure of governance have refocused attention on the need for inclusive growth and strong institutions. In developing countries, large informal economies limit state capacity to deliver governance and strong institutions, whi...

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Bibliografski detalji
Glavni autor: Mohommad, Adil
Daljnji autori: Jain-Chandra, Sonali, Singh, Anoop
Format: Žurnal
Jezik:English
Izdano: Washington, D.C. : International Monetary Fund, 2012.
Serija:IMF Working Papers; Working Paper ; No. 2012/047
Teme:
Online pristup:Full text available on IMF
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245 1 0 |a Inclusive Growth, Institutions, and the Underground Economy /  |c Adil Mohommad, Anoop Singh, Sonali Jain-Chandra. 
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520 3 |a Worldwide protests against the perceived lack of economic opportunity and failure of governance have refocused attention on the need for inclusive growth and strong institutions. In developing countries, large informal economies limit state capacity to deliver governance and strong institutions, which in turn discourages participation in and expansion of the formal economy. This paper analyzes the determinants of the underground economy, with particular emphasis on the role of institutions and the rule of law. We find that when businesses are faced with onerous regulation, inconsistent enforcement and corruption, they have an incentive to hide their activities in the underground economy. Empirical analysis suggests that institutions are a more important determinant of the size of the underground economy than tax rates. 
538 |a Mode of access: Internet 
650 7 |a Economic Activity  |2 imf 
650 7 |a Economy  |2 imf 
650 7 |a Shadow Economy  |2 imf 
650 7 |a Underground Economy  |2 imf 
650 7 |a WP  |2 imf 
651 7 |a Montenegro  |2 imf 
700 1 |a Jain-Chandra, Sonali. 
700 1 |a Singh, Anoop. 
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