%0 Report
        %A Buehn, Andreas
%A Schneider, Friedrich
        %T Corruption and the Shadow Economy: A Structural Equation Model Approach
        %D 2009
        %8 2009 May
        %I Institute of Labor Economics (IZA)
        %C Bonn
        %7 IZA Discussion Paper
        %N 4182
        %U https://www.iza.org/index.php/publications/dp4182
        %X The relationship between corruption and the shadow economy is not clear. Theoretically, they either substitute or complement each other – exhibiting either a negative or positive relationship. This paper – using a structural equation model with two latent variables – extracts information on various dimensions of corruption and the shadow economy to contribute to the debate on their relationship. It presents empirical evidence of a positive relationship between the shadow economy and corruption. The results show that the shadow economy influences corruption more than corruption influences the shadow economy.
        %K shadow economy
%K corruption
%K SEM models