What Do We Know About the Shadow Economy?

Evidence from 21 OECD countries

• Author(s): Friedrich Schneider • Published: December 2001
• Pages in paper: 14


Abstract

Estimates of the size of the shadow economy in 21 OECD countries are presented. The average size of the shadow economy (as a percentage of ‘official’ GDP) over 1999/2000 in these countries is 16.7%. The author concludes that it is the increasing burden of taxation and social security contributions, combined with rising state regulatory activities, that are the driving forces for the recent growth in size of the shadow economy in the countries concerned.



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More Papers From This Author in World Economics:


Shedding Light on the Shadow Economy

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