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Irregular economy, crime and income inequality: a vicious circle?
Enzo Valentini, Fabio Clementi

Last modified: 2019-06-14

Abstract


 

This paper analyses the possible link between income inequality and the level of illegality present in two areas of social and economic life (homicides and irregular work) in Italy. The results of an econometric analysis at the regional level show that the presence of irregular work and a high rate of homicides are responsible for an overall decrease in income, which is particularly pronounced for low incomes, leading to an increase in inequality.



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