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ABSTRACT. I hope this paper makes a significant contribution to evaluating the magnitude and tendency of the underground economy, the connection between direct democracy and the shadow economy, the transmission routes through which direct democratic institutions impact the dimensions of the informal sphere, and the effect of the shadow economy on degrees of entrepreneurial activity. My aim in this article is to develop a research agenda for exploring the link between country-specific degrees of entrepreneurial activity and the dimensions of the shadow economy, the character of the shadow economy as a role of its magnitude, drivers of the shadow economy, and the connection between decentralization and the shadow economy. pp. 110–115
JEL Codes: F16; J21; J41

Keywords: labor market; shadow economy; employment; tax

How to cite: Popescu, Gheorghe H. (2014), “Labor Market Regulation and the Shadow Economy,” Economics, Management, and Financial Markets 9(3): 110–115.

GHEORGHE H. POPESCU
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Dimitrie Cantemir Christian University

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