Izvorni znanstveni članak
https://doi.org/10.1080/1331677X.2020.1844584
Volume of the unofficial economy in the Western Balkan region
Davor Mikulić
orcid.org/0000-0002-9847-6116
Sažetak
Western Balkan (WB) economies are lagging behind more
advanced post-transitional countries in terms of economic development and the quality of the institutional framework and public
services. As a response to the rigidity in the business environment
and high taxation, private entrepreneurs shift part of their activities into the unofficial sector. We aim to estimate the volume of
the unofficial economy (UE) in seven WB economies: Slovenia,
Croatia, Bosnia and Herzegovina, Serbia, Montenegro, Kosovo and
North Macedonia. In providing reliable estimates of the range of
the UE, we applied two different methods: multiple indicators,
multiple causes (MIMIC) and a direct survey of 21,000 individuals.
The highest size of the UE, based on the average of both methods, is estimated for Montenegro. Slovenia, the most developed
economy included in the sample, has the lowest share of the UE.
The direct survey provides results on the propensity of different
socioeconomic groups to engage in unofficial activities. The
improvement of the institutional environment, quality of public
services and lower tax burden are expected to be more effective
than repression measures in the combat against the UE.
Ključne riječi
Unofficial economy; Western Balkan economies; tax evasion; exhaustiveness of national accounts; MIMIC method
Hrčak ID:
301243
URI
Datum izdavanja:
31.12.2021.
Posjeta: 149 *