research-article

Against the Shadow: the Role of e-Government

Authors:

Ibrahim Kholilul Rohman,

Linda VeigaAuthors Info & Claims

dg.o '17: Proceedings of the 18th Annual International Conference on Digital Government Research

Pages 319 - 328

https://doi.org/10.1145/3085228.3085321

Published: 07 June 2017 Publication History

Abstract

The shadow economy is defined as economic activities which escape from detection in the official estimates of the Gross Domestic Product (GDP). They erode the tax bases and reduce tax revenue, forcing the government to find other sources to finance their spending. The size of shadow economies is associated with a higher inflation rate, public debt, and unemployment, hence becoming a crucial problem to mitigate, especially in the developing countries. This paper aims to see a possible contribution of e-Government (eGov) implementation to reduce the shadow economy. If institutional and regulatory problems are addressed by introducing eGov, we can avoid predatory and obstructive regulations. This will lower compliance costs and the administrative burdens which have been addressed as among major factors affecting the shadow economy. We investigate this phenomenon on a panel of 128 countries during the period 2003-2013, where the data on shadow economy [1] and the eGov index [2] are both available. The analysis shows that the increasing eGov index significantly reduces the size of the shadow economy. We also found that shadow economy is a latent phenomenon and that the impact of eGov will be greatly conditioned by the severity of the historical phenomenon of the shadow economy.

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Cited By

Doan NPhuc Nguyen CQuang Nguyen B(2025)How e-Government Affects the Shadow Economy: A Further AnalysisInternational Economic Journal10.1080/10168737.2025.2456156(1-41)Online publication date: 11-Feb-2025
https://doi.org/10.1080/10168737.2025.2456156
Nguyen CNguyen BLe Tran D(2024)Natural hazards and the influence on the shadow economy: non-linear evidence from panel analysisEnvironment, Development and Sustainability10.1007/s10668-024-05541-1Online publication date: 14-Oct-2024
https://doi.org/10.1007/s10668-024-05541-1
Ivanova MKulkaev GTanina A(2023)Improving the UN Methodology of the E-Government Development IndexDigital Transformation on Manufacturing, Infrastructure & Service10.1007/978-3-031-32719-3_9(111-129)Online publication date: 16-Jun-2023
https://doi.org/10.1007/978-3-031-32719-3_9
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dg.o '17: Proceedings of the 18th Annual International Conference on Digital Government Research

June 2017

639 pages

ISBN:9781450353175

DOI:10.1145/3085228

Copyright © 2017 ACM.

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Published: 07 June 2017

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dg.o '17

dg.o '17: 18th Annual International Conference on Digital Government Research

June 7 - 9, 2017

NY, Staten Island, USA

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dg.o '17 Paper Acceptance Rate 66 of 114 submissions, 58%;

Overall Acceptance Rate 150 of 271 submissions, 55%

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Cited By

Doan NPhuc Nguyen CQuang Nguyen B(2025)How e-Government Affects the Shadow Economy: A Further AnalysisInternational Economic Journal10.1080/10168737.2025.2456156(1-41)Online publication date: 11-Feb-2025
https://doi.org/10.1080/10168737.2025.2456156
Nguyen CNguyen BLe Tran D(2024)Natural hazards and the influence on the shadow economy: non-linear evidence from panel analysisEnvironment, Development and Sustainability10.1007/s10668-024-05541-1Online publication date: 14-Oct-2024
https://doi.org/10.1007/s10668-024-05541-1
Ivanova MKulkaev GTanina A(2023)Improving the UN Methodology of the E-Government Development IndexDigital Transformation on Manufacturing, Infrastructure & Service10.1007/978-3-031-32719-3_9(111-129)Online publication date: 16-Jun-2023
https://doi.org/10.1007/978-3-031-32719-3_9
Ajide FDada J(2022)The impact of ICT on shadow economy in West AfricaInternational Social Science Journal10.1111/issj.1233772:245(749-767)Online publication date: 21-Apr-2022
https://doi.org/10.1111/issj.12337
Miranda Ramos LLameiras MSoares DAmaral L(2021)Who is behind the scenes of the ICT backstage? A study of the ICT resources in local governmentsProceedings of the 14th International Conference on Theory and Practice of Electronic Governance10.1145/3494193.3494302(165-171)Online publication date: 6-Oct-2021
https://dl.acm.org/doi/10.1145/3494193.3494302
Ramos LLameiras MSoares DAmaral L(2021)The Importance of ICT in Local Governments: Results from a Survey on the Characterization of the ICT Function in PortugalElectronic Government10.1007/978-3-030-84789-0_6(73-85)Online publication date: 7-Sep-2021
https://dl.acm.org/doi/10.1007/978-3-030-84789-0_6
Kuzmenko OZolkover A(2020)ASSESSMENT OF THE RELATIONSHIP BETWEEN E-GOVERNANCE AND SHADOW ECONOMYScientific Notes of Taurida National V.I. Vernadsky University. Series: Economy and Management10.32838/2523-4803/70-6-970:6Online publication date: 2020
https://doi.org/10.32838/2523-4803/70-6-9
Barbosa L(2017)Digital Governance for Sustainable DevelopmentDigital Nations – Smart Cities, Innovation, and Sustainability10.1007/978-3-319-68557-1_9(85-93)Online publication date: 4-Oct-2017
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