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Methods of assessing the shadow economy in agriculture

https://doi.org/10.55959/MSU0130-01056-59-5-5

Abstract

The article provides an overview of the existing methodology for measuring shadow economy. On the one hand, the scale of shadow processes acts as an indicator of the degree of readiness of individuals and legal entities to carry out financial and economic activities in the legal field. On the other hand, hidden economic phenomena may indicate a deterioration of business climate and increased competition, and adequate methods are needed to assess shadow economy. Besides, the international statistical community has not yet reached a consensus on what shadow economy is and what types and results of economic activity should be included in it. As a result, there are no generally accepted methods for measuring the scale of hidden economic processes. Studies on this issue applying different methods are quite numerous both in Russian and foreign literature. Their findings do not allow to compare the scale of hidden economy between several countries and regions. In the article we consider the most commonly used methods to assess the possibility of their usage to measure the shadow economy in agriculture. The following approaches should be listed: direct and indirect methods, mathematical and econometric modeling. Drawing on the analysis of methods for measuring shadow economy, we came to the conclusion that the most reliable approach is the one which adjusts official statistical data for each individual type of economic activity and for each region (the subject of Russia). This practice has not yet become widespread in statistical circles.

About the Authors

S. V. Kiselev
Lomonosov Moscow State University
Russian Federation

Moscow



V. A. Samsonov
Lomonosov Moscow State University
Russian Federation

Moscow



S. K. Seitov
Lomonosov Moscow State University
Russian Federation

Moscow



I. V. Filimonov
Lomonosov Moscow State University
Russian Federation

Moscow



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Kiselev S.V., Samsonov V.A., Seitov S.K., Filimonov I.V. Methods of assessing the shadow economy in agriculture. Moscow University Economics Bulletin. 2024;(5):99-113. (In Russ.) https://doi.org/10.55959/MSU0130-01056-59-5-5

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ISSN 0130-0105 (Print)