a r t i c l e i n f o We provide a theoretical and empirical study of the relation between financial development and the size of the underground economy. In our theoretical framework agents allocate investment between a low-return technology which can be operated with internal funds, and a high-return technology which requires external finance. Firms can reduce the cost of funding by disclosing...

a r t i c l e i n f o This paper evaluates the impact of a program of bureaucracy simplification and tax reduction on formality among Brazilian microenterprises — the SIMPLES program. We document an increase of 13 percentage points in formal licensing among retail firms created after the program when compared to firms in ineligible sectors. The impact on retailers is robust to a series of tests...

In this paper we consider the cyclical component of the underground economy in New Zealand, and compare some its characteristics with those of the corresponding cycle in real measured GDP. Comparisons are made between the turning points of the two cycles, and formal tests for cyclical asymmetry (in terms of both "steepness" and "deepness") are conducted. The turning-point comparisons reinforce ...

Researchers have long noted that child support policy for low-income parents may discourage formal child support payments and increase fathers’ participation in the underground economy. Among other factors, low-income fathers may have an incentive to avoid the formal child support system through underground work, since child support order amounts for low-income fathers can be quite high relativ...

Several studies in the economic literature have examined the usefulness of leading indicators in forecasting GDP changes. The two main sources of information used in this direction are (a) indexes of consumer and business sentiment and (b) monetary and financial data. Consumer and business sentiment indexes are based on sample surveys conducted by both national statistical services and industry...

abstract this study investigates the impact of housing and non- housing investment on the iran's gross domestic production (gdp) using quarterly data from 1370-1 to 1386-4. considering that iran has an open economy and that the net export plays an important role in gdp fluctuations, this research focuses on the difference between the effects of residential and non-residential investment in open...

Recently, a series of urban diseases have seriously impacted the development large and medium cities. The underground space (UUS) is widely regarded as an effective solution. Due to irreversibility resources, it important formulate scientific reasonable planning based on evaluation potential (DPUUS). In this work, from perspective society, economy, environment, model DPUUS was established, nine...