The Informal Economy in Many Less Developed Countries

question 87

Multiple Choice

The informal economy in many less developed countries

• A)consists of legitimate businesses that do not want to take the time to fill out the required paperwork.
• B)has better defined property rights than the formal sector.
• C)tends to be less productive than the formal economy.
• D)tends to be smaller than the formal economy.
• E)exists mainly because people are uneducated.

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Definitions:

Administrative Office

The part of an organization responsible for management and support tasks, such as finance, HR, and general administration.

Lease Cost

The expense incurred for renting a property, equipment, or facility under a lease agreement.

Sales Volume

Sales volume refers to the total number of units of a product or service sold by a company within a specific time period.

Units

Standard measurements or quantities used to specify or quantify production, inventory, or sales in business operations.