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THE SIZE AND GROWTH OF THE HIDDEN ECONOMY IN NORWAY
Author(s) -
Isachsen Arne Jon,
Strøm Steiner
Publication year - 1985
Publication title -
review of income and wealth
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 1.024
H-Index - 57
eISSN - 1475-4991
pISSN - 0034-6586
DOI - 10.1111/j.1475-4991.1985.tb00496.x
Subject(s) - unemployment , economics , cash , order (exchange) , labour economics , population , quality (philosophy) , work (physics) , economy , macroeconomics , mechanical engineering , philosophy , demography , finance , epistemology , sociology , engineering
The present size of the hidden economy in Norway is between 4 and 6 percent of GDP, of which hidden labor income constitutes about half. A survey approach reveals that 4/5 of the population is of the opinion that people in general accept income from moonlighting that is not reported, and 2/3 believes that this share of acceptance is on the increase. Furthermore, surveys clearly show that hidden labor services are of satisfactory quality, that they mainly are paid for in cash, but with checks being increasingly used, and that buyers find it easier to obtain services from the hidden labor market than from the regular one. A shortening of the work week in order to alleviate unemployment may result in an increased supply of hidden labor.