The purpose of this paper is to present an extended version of the Mundell-Fleming model which allows a macroeconomic analysis of the effects stemming from illegal economy with money laundering on the short-term equilibrium for a small open economy. Without disregarding the FATF´s money...

The main goal of our paper is to determine the existence of a link between government (military) expenditures and the shadow economy in the Baltic States. The empirical investigation is done over the years 2003-2014 for Estonia, Latvia and Lithuania. We showed that there is a highly...

This paper develops a demographic model of the currency population by examining the birth and death rates of specific denominations of currency. This framework permits empirical estimation of the average lifetime of notes in circulation and hence the currency velocity (turnovers per year) of...

Using some special models, this study tries to quantify the size of underground economy in Romania. The exposition plan includes: 1) Models based on direct approaches; 2) Models based on indirect approaches; 3) A generalised model for the allocation of time; 4) A model based on May’s logistic;...

The study is focused on estimating the informal economy in Romania based on survey in households. Moreover, some specific dynamic models to simulate complicated types of household’s behaviour (regimes) relating to participation in informal economy are presented.

The informal sector (IS) in developing countries plays significant roles viz., the provision of employment, incomes and supplying ignored markets. However, the working and employment conditions in the sector are still poor. Thus, its expansion and changing structures have drawn the attention of...

The CuveWaters project relates the alignment and implementation of innovative water technologies to an Integrated Water Resources Management (IWRM) in the Cuvelai-Etosha-Basin, which lies in Central Northern Namibia. The aim here is to improve inhabitants’ living conditions by means of...

This empirical paper investigates two important and controversial economic relationship: the link between underground employment and unemployment, and the connection among underground economy and local factors. The key results of this analysis are two. The first: the causality relationship...

Recent development cooperation with Guinea-Bissau, focussing on good governance, state-building and conflict prevention, did not contribute to democratization nor to the stabilization of volatile political, military and economic structures. Both the portrayal of Guinea-Bissau as failed ‘narco...

This paper examines the ‘currency enigma” which arises because despite financial innovation that has created important new substitutes for cash usage, U.S. per capita currency holdings now amount to $2700. American households and businesses admit to holding only 15 percent of the stock of...