M.S.D. Bagachwa is a Senior Research Fellow at the Economic Research Bureau in the University of Dar es Salaam. He was previously on the National Price Commission in Tanzania and was a Research Officer at Queen Elizabeth House in the University of Oxford.
Every country has its second, underground, unofficial, irregular or parallel economy. By their nature they are hidden and defy accurate and formal measurement. They provoke conceptual and definitional arguments among analysts. There has recently been a surge of interest; anecdote, newspaper reports and ‘educated guesses’ have increasingly been replaced by serious analysis. However, most of the new generation of studies are of developed economies.