The Effect of Transparency Policies on Shadow Economy: Measurement and Evidence from Korea

Seokjin Woo (), Ki Beom Binh and Myung-Ho Park
Additional contact information
Seokjin Woo: Department of Economics, Myongji University, South Korea

Journal of Reviews on Global Economics, 2018, vol. 7, 337-344

Abstract: This paper provides a new and simple methodology to examine the relative size of the shadow economy to the official one using the quantity theory of money identity. We measure the shadow economy size in Korea annually. The Korean government has implemented various transparency policy measures to identify the tax source in commercial transactions. We find significant evidence that credit card encouragement and the cash payment receipt system have a negative effect on the shadow economy size. JEL Classification: H25, H26, E26.

Keywords: Shadow economy; transparency policy; credit card; cash payment receipt; quantity theory of money identity. (search for similar items in EconPapers)
Date: 2018
References: Add references at CitEc
Citations: View citations in EconPapers (1)

Downloads: (external link)
https://lifescienceglobal.com/85-abstract/jrge/337 ... -evidence-from-korea

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:lif:jrgelg:v:7:y:2018:p:337-344

Access Statistics for this article

Journal of Reviews on Global Economics is currently edited by Michael McAleer and Chia-Lin Chang

More articles in Journal of Reviews on Global Economics from Lifescience Global
Bibliographic data for series maintained by Faisal Ameer Khan ( this e-mail address is bad, please contact ).