Entrepreneurship and the Shadow Economy
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Entrepreneurship and the Shadow Economy

Edited by Arnis Sauka, Friedrich Schneider and Colin C. Williams

The shadow economy has become the focus of policy makers around the world. This timely book explores the relationship between entrepreneurship and the shadow economy by reviewing how to measure, explain and tackle this hidden enterprise culture. The editors bring together leading authorities in the field to examine existing methods to measure the shadow economy, explore entrepreneurship and shadow economy practices in various contexts, and provide policy suggestions for decreasing the shadow economy. It concludes by encouraging further research in this ever-growing field.
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Chapter 5: Informal entrepreneurship and informal entrepreneurial activity in Russia

Alexander Chepurenko


Informal entrepreneurship and informal entrepreneurial activity are a stark reality in Russia, as in many other mid-income transitional societies. Usually, they are seen in the literature to be the result of the Soviet past and a reflection of some societal specifics of the Russian society and culture. This chapter argues that in Russia, purely informal entrepreneurship is not widespread, and that it is mostly informal entrepreneurial activity by formal enterprises and sole traders which prevails, and that this is a reaction to the circumstances and patterns of the transition itself. The chapter deals with a description of motives, forms and contexts of informal entrepreneurial activity in contemporary Russia based on the interim results (2013–14) of a longitudinal panel survey of entrepreneurs and start-ups located in Moscow; it formulates some policy recommendations.

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