Using data from the Italian Institute of Statistics, I examine the cyclical properties of three labor inputs - regular employees, regular self-employed, and underground workers. Results support the widespread view that, in Italy, the shadow employment functions as an improper tool for increasing...

This paper presents an empirical investigation of the two faces of the Italian labour market, the dark and the regular. Results from 'exhaustive' VAR/VEC models suggest that there are no connections (causal relationships, feedback, contemporaneous correlation) between them. In this sense, we...