The size and development of the shadow economy in Bangladesh: an empirical investigation

Siddiki, Jalal (2014) The size and development of the shadow economy in Bangladesh: an empirical investigation. (Discussion Paper) Kingston upon Thames, U.K. : Faculty of Arts and Social Sciences, Kingston University. 25 p. (Economics Discussion Paper, no. 2013-03)

Abstract

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 reduces the size of the shadow economy in Bangladesh.

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