What will happen if you make the underground economy legal?

Economics:
10th Edition
ISBN:9781285859460
Author:BOYES, William
Publisher:BOYES, William
Chapter1: The Wealth Of Nations: Ownership And Economic Freedom
Section: Chapter Questions
Problem 2E
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What will happen if you make the underground economy legal?

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Underground economy is the economic activities which are beyond the reach of tax regulators and collectors and are not reported to the government. It includes activities which are illegal like the trade of stolen commodities, drugs, fraud and illegal gambling. This is also known as shadow economy.

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