Shadow Economies and Corruption All Over the World - Index of - IZA

(15) Social Security Burden
Definition: social security payments (employers and employees) in % of GDP, Source OECD,
2003, 2004
Quality of state institutions, World Bank rule of law index, ranges from -3 to +3, with higher
scores showing better environments, i.e. the higher the score the better is the rule of law in
that respective country. Source: Kaufmann, D.; Kraay, A. and M. Mastruzzi, 2003,
Governments Matters III: Governments Indicators for 1996/2002, World Bank Policy
Research Working Papers 3106, World Bank, Washington D.C.
8 Appendix 3: Descriptive Statistics of the variables
Variable Mean Minimum Maximum Standard
Deviation
Shadow Economy 31.78 6.90 68.20 12.72
Income tax rate (Fraser) 4.95 0.00 10.00 3.01
Custom duties (% of GDP) 6.44 0.00 10.00 2.34
Direct Taxes (% of GDP) 20.20 0.37 47.28 9.69
Indirect Taxes (% of GDP) 24.63 0.04 58.76 10.48
Regulation (Heritage) 3.37 1.00 5.00 0.93
Rule of law (World Bank) 0.00 -2.04 2.36 0.98
Government effectiveness (World Bank) -0.02 -2.28 2.59 0.95
Social security burden (% of GDP) 18.3 0.00 26.3 6.42
Tax morale 4.51 1.78 8.46 2.32
Unemployment quota 9.46 3.41 24.36 3.43
GDP per capita in USD 14532.01 543.74 37541.23 10552.23
Annual rate of GDP (%) 6.62 -5.58 12.64 2.34
Change of local currency per capita 7.47 0.21 14.64 3.24
Employment quota 40.23 34.12 66.41 16.43
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