2023
DOI: 10.36941/ajis-2023-0074
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Financial Development and Its Impact on the Shadow Economy in Albania

Abstract: This study investigates financial development's effect on Albania's shadow economy from 1995 to 2015. We use data on the shadow economy from Medina and Schneider (2018) and other economic variables to examine the relationship between the shadow economy and economic growth. We use ADF, PP, and KPSS tests to determine the stationarity of the data series and Toda Yamamoto Granger Causality and VAR(p+dmax) estimation to identify the direction of the causal relationship between financial development and other econo… Show more

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