A nation’s economy is best calculated through its gross domestic product or GDP. However, there is a few exceptions that are not taken into affect with the economy which is known as the underground economy. The underground economy or the shadow economy is the unrecorded and untaxed section of a country’s economic activities.
According to analysts, the underground economy may help the real economy from falling any farther. The underground economy is full of those who cannot find a full time job, with this being done people will turn to anything that will pay them with no record or taxes taken out. In the last year estimates show that around two trillion dollars is being brought into the economy through the shadow economy (Koba, n.pag)
The job hunt shrinks more and more everyday day due to mass unemployment rate. Lifestyles are being changed, due to fewer jobs, lower pay, expensive mortgages. Because of this just in 2009, $600 billion dollars in unreported economic activity was spent by the government in tax revenue. People tend to find anything to pay the bills. Even if the job
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The black market is an illegal trade in services or goods. A common misconception is that in the black market the goods and or services are illegal. Which is not true, the actual transaction becomes the illegal side. Roughly about 1.8 billion people worldwide are employed through a black market, which makes up about 16% of the world GDP. The black market consists of many products being sold illegally. Some of Products that are sold in the shadow economy include human trafficking, drugs, weapons, currency, etc. In the United States the shadow economy is not just criminal in nature such as smuggling, drug dealing or prostitution, but also that it includes legitimate lines of work like hotel workers, or restaurant workers due to the fact that these workers may get paid in unreported cash or under the