UNDERGROUND ECONOMY IN INDONESIA
Keywords:
Underground economy, tax evasion
Abstract
This paper estimates the size of underground economic activity in Indonesia. Underground economy covers market production of goods and services, legal and illegal, which are sold or purchased illegally. Using monetary approach, this paper concludes the average size of the underground economy in Indonesia during 2001-2013 was 8.33 percent of GDP. Consequently, the average size of potential tax loss was Rp. 11,172.86 billion or about one percent of GDP.Downloads
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References
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Faal, Ebrima. (2003). Currency Demand, the Underground economy, and Tax Evasion: the Case of Guyana. International Monetary Fund Working Paper.
Feige, Edgard. (1990). Defining and Estimating Underground and Informal Economies: The New Institutional Economic Approach, World Development, 18, no. 7, pp. 989 – 1002.
Gujarati, Damodar. (1993). Ekonometrika Dasar. Jakarta: Erlangga.
Haque, Sheikh Touhidul. (2013). Underground economy of Bangladesh: An Econometric Analysis.Research Study Series No – FDRS 01/2013.
Lemmiuex, Pierre. (2007). The Undeground Economy Causes, Extent, Approach. Montreal Economic Institute Research Papers.
Schneider, Friedrich dan Enste, D. H. (2000). Shadow Economies: Size, Causes, and Consequences. Journal of Economic Literarute, Vol.38, pp. 77-114.
Smith, J. D. (1985). Market motive in the Informal Economy. The Economics of the Shadow Economy.
Tanzi, Vito. (1980). The Underground Economy in the United States: Annual Estimates, 1930-80. IMF Staff Papers, Vol. 30 (June), pp. 283-305.
Faal, Ebrima. (2003). Currency Demand, the Underground economy, and Tax Evasion: the Case of Guyana. International Monetary Fund Working Paper.
Feige, Edgard. (1990). Defining and Estimating Underground and Informal Economies: The New Institutional Economic Approach, World Development, 18, no. 7, pp. 989 – 1002.
Gujarati, Damodar. (1993). Ekonometrika Dasar. Jakarta: Erlangga.
Haque, Sheikh Touhidul. (2013). Underground economy of Bangladesh: An Econometric Analysis.Research Study Series No – FDRS 01/2013.
Lemmiuex, Pierre. (2007). The Undeground Economy Causes, Extent, Approach. Montreal Economic Institute Research Papers.
Schneider, Friedrich dan Enste, D. H. (2000). Shadow Economies: Size, Causes, and Consequences. Journal of Economic Literarute, Vol.38, pp. 77-114.
Smith, J. D. (1985). Market motive in the Informal Economy. The Economics of the Shadow Economy.
Tanzi, Vito. (1980). The Underground Economy in the United States: Annual Estimates, 1930-80. IMF Staff Papers, Vol. 30 (June), pp. 283-305.
Published
2016-09-30
How to Cite
Samuda, S. J. (2016). UNDERGROUND ECONOMY IN INDONESIA. Buletin Ekonomi Moneter Dan Perbankan, 19(1), 39-56. https://doi.org/10.21098/bemp.v19i1.599
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Buletin Ekonomi Moneter dan Perbankan / Bulletin of Monetary Economics and Banking is licensed under a Creative Commons Attribution-NonCommercial 4.0 International License.
