Skip to main content

Does taking the shadow economy into account matter when measuring aggregate efficiency?

Buy Article:

$47.00 plus tax (Refund Policy)

We analyse how adding the shadow economy to official output figures affects the estimated technical efficiency at the country level. We find that this not only slightly affects the ranking of efficiency scores, but also increases average efficiency in a sample of 87–97 countries, both developed and developing. Our results are robust to the functional form of the production technology and the adjustment of labour to account for years of schooling.
No Reference information available - sign in for access.
No Citation information available - sign in for access.
No Supplementary Data.
No Data/Media
No Metrics

Document Type: Research Article

Affiliations: 1: Université Libre de Bruxelles (ULB), DULBEA and Centre Emile Bernheim, CP-140, avenue F.D. Roosevelt 501050 Brussels, Belgium 2: Department of Economics,Johannes Kepler University of Linz, A-4040 Linz-Auhof, Austria 3: Institut d’Etudes Politiques, Université Robert Schuman, 47 avenue de la Forêt Noire67082 Strasbourg Cedex, France

Publication date: 2011-07-01

More about this publication?
  • Access Key
  • Free content
  • Partial Free content
  • New content
  • Open access content
  • Partial Open access content
  • Subscribed content
  • Partial Subscribed content
  • Free trial content
Cookie Policy
Cookie Policy
Ingenta Connect website makes use of cookies so as to keep track of data that you have filled in. I am Happy with this Find out more