The paper estimates the size of the shadow economy in Bangladesh by applying the multiple indicator multiple cause model to time series data from 1975-2010. The estimated size of the shadow economy ranges from 13.47% in 1984 to 37% in 2010. Taxes are one of the key drivers while monetization...

This paper examines the Ricardian equivalence hypothesis (REH) and its sources of failure in the case of Bangladesh using various theoretical specifications, annual data from 1974-2001 and linear and non-linear time series techniques. The general findings tend to invalidate the REH: a finite...