Underground Economy

The Underground Economy

A part of the economy that is hidden from the government is called the underground economy. There are many other terms used to describe this type of economy including words such as invisible, unofficial, irregular, informal, hidden and unrecorded. This economy is also called unrecorded, shadow economy or even moonlighting. The underground economy is best known as the black market not only in the United Sates but in other countries as well.
The underground economy can be broken up into three categories. The categories are the illicit, the informal, and the unreported. This type of economy is hidden for varies reasons and in not included in the economic reports. The amount of money that is generated in the underground economy is not unknown but it is estimated and it is believed to be on the rise.
The illicit category can include things such as the production and or distribution of illegal items. The sale of illegal drugs (ex. marijuana, cocaine) i...