The shadow (underground) economy plays a major role in many countries. People evade taxes and regulations by working in the shadow economy or by employing people illegally. On the one hand, this unregulated economic activity can result in reduced tax revenue and public goods and services, lower...

This paper presents the first MIMIC (multiple indicator multiple causes) model estimate of the size and development of the shadow economy and of do-it-yourself (DIY) activities in Germany from 1970 to 2005. By 2005, they reached a level of about 17% and 4.94%. While the shadow economy has...

To evaluate critically the policy options available for tackling the undeclared economy, this paper commences by evaluating the implications of four hypothetical policy choices, namely doing nothing, de-regulating the declared economy, eradicating the undeclared economy, or moving undeclared...

This paper evaluates critically the validity of the competing conceptualizations of informal employment that variously read such work as a leftover of a previous mode of production, a by-product of, alternative or complement to formal employment. Until now, the common tendency has been for...

This paper examines the nature of undeclared work in southeast Europe and evaluates the consequences for tackling such work. Reporting a survey of undeclared work in five southeast European countries (Bulgaria, Cyprus, Greece, Romania and Slovenia), a diverse array of types of undeclared work...

Until now, participation in undeclared work has been explained through either a structuralist lens as driven by ‘exclusion' from state benefits and the circuits of the modern economy or through a neo-liberal and/or post-structuralist lens as driven by the voluntary ‘exit' of workers out of...

The aim of this paper is to evaluate two contrasting ways of explaining and tackling undeclared work. The rational economic actor approach theorizes undeclared work as arising when the benefits of undertaking undeclared work outweigh the costs, and the policy focus is upon deterring undeclared...

Inspired by a stream of cultural economic geographical thought that has sought to de-construct the view that monetary transactions are everywhere market-like and profit-motivated, this paper seeks to re-read the nature of undeclared work. Conventionally, such work has been seen as epitomising...

In recent years, it has been increasingly recognised that governments seeking to tackle undeclared work effectively should adopt a holistic approach. This seeks to coordinate strategy across the fields of labour, tax and social security law, and to use the full range of policy measures...

Recently, there has been growing recognition that some formal employees receive from their formal employers two wages, namely an official declared wage plus an additional undeclared (envelope) wage, which reduces the tax and social contributions paid to the authorities. The aim of this paper is...