While Greece may be the most corrupt nation in Europe, there appears another problematic issue for finance minister Yannis Stournaras when he discusses the way forward with his Swiss counterpart this week. As Bloomberg’s Niraj Shah reports, Greece’s difficulties with tax evasion are the worst in Europe. Accprding to a study from Johannes Kepler University, the size of the Greek shadow economy is a stunning 24% of GDP. One can only wonder what lesson this unintended consequence has for a US (or French) President besotted with extraction – especially as 74% cite “taxes are too high” as a reason for ‘informal labor’.
The issue of “informal labor supply and demand” – or shadow economy is not about to be solved as attitudes across Europe are somewhat notably positive…