© 1985

The Economics of the Shadow Economy

Proceedings of the International Conference on the Economics of the Shadow Economy, Held at the University of Bielefeld, West Germany, October 10–14, 1983

  • Wulf Gaertner
  • Alois Wenig
Conference proceedings

Part of the Studies in Contemporary Economics book series (CONTEMPORARY, volume 15)

Table of contents

  1. Front Matter
    Pages N2-XIV
  2. Conceptual Questions

  3. Empirical Evidence

    1. Front Matter
      Pages 59-59
    2. Jiri Skolka
      Pages 60-75
    3. Hannelore Weck-Hannemann, Bruno S. Frey
      Pages 76-104
    4. Pierre Pestieau
      Pages 144-160
    5. James D. Smith
      Pages 161-177
  4. Theoretical Approaches

    1. Front Matter
      Pages 178-178
    2. Benjamin Bental, Uri Ben-Zion, Alois Wenig
      Pages 179-193
    3. V. Ginsburgh, Ph. Michel, F. Padoa Schioppa, P. Pestieau
      Pages 194-217
    4. Arne Jon Isachsen, Sven Ove Samuelson, Steinar Strøm
      Pages 227-244
    5. Yael Benjamini, Shlomo Maital
      Pages 245-264
    6. Ekkehart Schlicht
      Pages 265-271

About these proceedings


Robbery, larceny, blackmail, fraud, and other crimes with economic motives are likely to be as old as mankind, and the evasion of taxes and economic regulations can be assumed to begin with the introduction of taxes and economic regulations. Thus the shadow economy is certain­ ly not a new phenomenon. However, economists did not pay much attention to it until quite recently. P. GUTMANN in his pioneering article "The Subterranean Economy" (Financial Analysts Journal, Nov/Dec 1977, p. 24- 27) was first to point out that unreported economic activity cannot (or, at least, can no longer) be considered as a "quantite negligeable". Challenged by GUTMANN's hypothesis many economists have then tried to assess the quantitative and qualitative importance of the shadow economy (commonly also known as the underground, or subterranean, or black, or unreported economy, and by other names). There seems to be wide agreement nowadays that the shadow economy has not only reached a substantial portion of total economic activity in both Eastern and Western countries but that it is also growing at rates which can no longer be experienced in the official sector. The existence of a considerable volume of unreported economic activities implies that important macroeconomic variables are biased in the official statistics. The rate of unemployment, for example, may be over-estimated while production figures, on the other hand, tend to be underrated. The government could thus be mislead and choose inadequate policies.


Economics Economy Inflation Schattenwirtschaft /Bericht Schwarzarbeit /Bericht production

Editors and affiliations

  • Wulf Gaertner
    • 1
  • Alois Wenig
    • 2
  1. 1.Department of EconomicsUniversity of OsnabrückOsnabrückGermany
  2. 2.Department of EconomicsFernuniversität HagenHagenGermany

Bibliographic information

  • Book Title The Economics of the Shadow Economy
  • Book Subtitle Proceedings of the International Conference on the Economics of the Shadow Economy, Held at the University of Bielefeld, West Germany, October 10–14, 1983
  • Editors W. Gaertner
    A. Wenig
  • Series Title Studies in Contemporary Economics
  • DOI
  • Copyright Information Springer-Verlag Berlin Heidelberg 1985
  • Publisher Name Springer, Berlin, Heidelberg
  • eBook Packages Springer Book Archive
  • Softcover ISBN 978-3-540-15095-4
  • eBook ISBN 978-3-642-88408-5
  • Series ISSN 1431-8806
  • Edition Number 1
  • Number of Pages XIV, 402
  • Number of Illustrations 0 b/w illustrations, 0 illustrations in colour
  • Topics Economics, general
    Public Law
  • Buy this book on publisher's site