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Estimating shadow economy and tax evasion in Romania. A comparison by different estimation approaches

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The paper aims to estimate the size of shadow economy (SE) and tax evasion (TE) in Romania for the period 2000–2017. We apply different approaches – Multiple Indicator Multiple Cause… Click to show full abstract

The paper aims to estimate the size of shadow economy (SE) and tax evasion (TE) in Romania for the period 2000–2017. We apply different approaches – Multiple Indicator Multiple Cause (MIMIC) model for the estimation of the size of the SE and the currency demand approach for the estimation of TE – in order to lay emphasis on peculiarities of these two phenomena.

Keywords: economy tax; tax evasion; evasion romania; estimation; shadow economy

Journal Title: Economic Analysis and Policy
Year Published: 2019

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