CORRUPTION AND THE SHADOW ECONOMY - EFFECTS ON A COUNTRY’S ECOMICAL DEVELOPMENT

Corruption and the shadow economy represent an interesting and current topic in the field of business, because they are responsible for important economic and financial loses, for the governments and the economic and social future of one’s country. Therefore, the current paper aims to underline the concepts of corruption and shadow economy, the main types of corruption and how the shadow economy manifests itself in different economical systems as well as some methods of analysing the shadow economy size. We are presenting some interesting results of a secondary data research developed in order to understand the impact of the corruption phenomena on the economical results of certain European countries, as well as assessing the evolution of the Corruption Perception Index in the EU and its impact in the population perception of corruption, combined with pointing out how the shadow economy reduces the value of the GDP, by providing a comparative analysis of different countries.