This paper discusses alternative approaches to the measurement of the informal economy in Romania. The author proposes two essential criteria regarding the economic classification, namely whether the respective activities are or are not reported through an official established document and...

I use the Markov Switching AR approach to model the business cycles in Romanian economy for the 1991-2008 period using monthly data on industrial production. The time series used allows for a comparison with previous dating of Romanian business cycles. Generally, the MS-AR performs well,...

The author uses two models derived from the general model of stagflation in order to analyze long term trends of inflation-unemployment relationship. The first model assumes a simple linear correlation between unemployment and the growth rate of GDP, while inflation is a parabolic function of...

The authors start by underlining the main common features and the main differences between Poland and Romania at a macro level. The second section realizes an in-depth analysis of the sectoral developments in Poland and Romania. We find important divergences with regard to production and...

The paper presents the basic prerequisites that Romania should fulfill so that inflation reaches a level close to that of the countries that have joined EU in 2004, highlighting the need to adopt a new monetary policy strategy, namely inflation targeting. The lessons depicted from the experience...

The author investigates here the impact of taxes on the size of the underground economy. Starting from the reference model of Allingham and Sandmo (1972), he derives three other sub-models from which it constructs a general model. The author used this model to evaluate the limits between which...

The paper aims to analyze the causes or the motivations of the households’ informal economy activities and to estimate the size of the Romanian informal economy. Using data for Romania, it was found that people perceived high taxes as the main cause of the informal activities. The data...

More than a decade after its onset on the path of transition from communism, Romania continues to face problems of transparency in fiscal operations, difficulties in liquidity management, persistent inflation and currency devaluations, and a generally unstable economic environment. This...

This is a short study on the evolution and the determinants of the household savings in Romania after 1990. Given that the savings are very important in a transition economy by helping to reduce the inflation and ensuring the funds to finance the economic activity through bank credits, it is...

The purpose of this paper is to study and quantify the impact of the human capital in the process of economic growth in Romania over the 1990-2002 period. We will consider an augmented Cobb-Douglas production function to include the human capital, approximated by the number of schooling years...