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The Concept of the Survey of Businesses and Entrepreneurs Operating Informally

In: Formalizing the Shadow Economy in Serbia

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  • Gorana Krstić

    (University of Belgrade)

Abstract

Incentives to formalise the shadow economy should be based on knowledge of the causes and structure of informal activity. A specific problem in designing these incentives is the fact that information on the shadow economy is inherently unreliable and incomplete. A survey of the informal activities, the Survey on Conditions for Doing Business in Serbia, was therefore carried out for the purpose of this study on a representative sample of 1,251 businesses and entrepreneurs. This survey allows us to explore the shadow economy in Serbia from the business perspective for the first time, to assess the various forms that the shadow economy takes, and to analyse them according to the relevant characteristics of business entities, as all previous research has been based on household surveys. The survey also allows us to analyse the causes of and motives for informal activity, which is of particular importance in drafting recommendations for formalising the shadow economy. This chapter presents the aim and content of the survey and the survey methodology. It reviews various approaches to eliciting honest responses, provides the empirical definition of the shadow economy used in the survey, and details the sample allocation. The last part of the chapter focuses on the basic characteristics of the surveyed businesses.

Suggested Citation

  • Gorana Krstić, 2015. "The Concept of the Survey of Businesses and Entrepreneurs Operating Informally," Contributions to Economics, in: Gorana Krstić & Friedrich Schneider (ed.), Formalizing the Shadow Economy in Serbia, edition 127, chapter 0, pages 13-19, Springer.
  • Handle: RePEc:spr:conchp:978-3-319-13437-6_3
    DOI: 10.1007/978-3-319-13437-6_3
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    References listed on IDEAS

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    1. Tālis J. Putniņš & Arnis Sauka, 2011. "Size and determinants of shadow economies in the Baltic States," Baltic Journal of Economics, Baltic International Centre for Economic Policy Studies, vol. 11(2), pages 5-25, December.
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    4. Kazemier, Brugt & van Eck, Rob, 1992. "Survey investigations of the hidden economy : Some methodological results," Journal of Economic Psychology, Elsevier, vol. 13(4), pages 569-587, December.
    5. Arnis Sauka, 2008. "Productive, Unproductive and Destructive Entrepreneurship: A Theoretical and Empirical Exploration," William Davidson Institute Working Papers Series wp917, William Davidson Institute at the University of Michigan.
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