hi i want help in Homework for questions 2,3 and 4 if you can THE UNDERGROUND ECONOMY AROUND THE WORLDWhat do the driver of an unlicensed hack cab in New York, a piecework seamstressworking from her home in Mumbai, and a street tortilla vendor in Mexico City have in common?They are all members of the underground economy, a loosely defined unregulated marketunhindered by taxes, government permits, or human protections. Official statistics before theworldwide recession posit that the underground economy accounted for over 50 percent ofnonagricultural work in Latin America; the figure went as high as 80 percent in parts of Asia andAfrica (Chen 2001). A recent article in the Wall Street Journal discusses the challenges,parameters, and surprising benefits of this informal marketplace. The wages earned in mostunderground economy jobs, especially in peripheral nations, are a pittance-a few rupees for ahandmade bracelet at a market, or maybe 250 rupees ($5 U.S.) for a day's worth of fruit andvegetable sales (Barta 2009). But these tiny sums mark the difference between survival andextinction for the world's poor.1. Define "underground economy" in your own words. Include the benefits and harmit causes a nation.The underground economy has never been viewed very positively by global economists.After all, its members don't pay taxes, don't take out loans to grow their businesses, and rarelyearn enough to put money back into the economy in the form of consumer spending. Butaccording to the International Labor Organization (an agency of the United Nations), some 52million people worldwide will lose their jobs due to the ongoing worldwide recession. And whilethose in core nations know that high unemployment rates and limited government safety netscan be frightening, their situation is nothing compared to the loss of a job for those barely ekingout an existence. Once that job disappears, the chance of staying afloat is very slim.2. What are the risks of having a job in the underground economy?Within the context of this recession, some see the underground economy as a key playerin keeping people alive. Indeed, an economist at the World Bank credits jobs created by theinformal economy as a primary reason why peripheral nations are not in worse shape duringthis recession. Women in particular benefit from the informal sector. The majority ofeconomically active women in peripheral nations are engaged in the informal sector, which issomewhat buffered from the economic downturn. The flip side, of course, is that it is equallybuffered from the possibility of economic growth.3. Why is the underground economy sometimes a good thing? Within the context of this recession, some see the underground economy as a key playerin keeping people alive. Indeed, an economist at the World Bank credits jobs created by theinformal economy as a primary reason why peripheral nations are not in worse shape duringthis recession. Women in particular benefit from the informal sector. The majority ofeconomically active women in peripheral nations are engaged in the informal sector, which issomewhat buffered from the economic downturn. The flip side, of course, is that it is equallybuffered from the possibility of economic growth.3. Why is the underground economy sometimes a good thing?Even in the United States, the informal economy exists, although not on the same scaleas in peripheral and semiperipheral nations. It might include under-the-table nannies,gardeners, and house-cleaners, as well as unlicensed street vendors and taxi drivers. There arealso those who run informal businesses, like daycares or salons, from their houses. Analystsestimate that this type of labor may make up 10 percent of the overall U.S. economy, a numberthat will likely grow as companies reduce headcounts, leaving more workers to seek otheroptions. In the end, the article suggests that, whether selling medicinal wines in Thailand orwoven bracelets in India, the workers of the underground economy at least have what mostpeople want most of all: a chance to stay afloat (Barta 2009).4. Do you think the underground economy is playing a major role in the currentsituation in Lebanon? Explain your answer.

Question

hi i want help in Homework for questions 2,3 and 4 if you can THE UNDERGROUND ECONOMY AROUND THE WORLDWhat do the driver of an unlicensed hack cab in New York, a piecework seamstressworking from her home in Mumbai, and a street tortilla vendor in Mexico City have in common?They are all members of the underground economy, a loosely defined unregulated marketunhindered by taxes, government permits, or human protections. Official statistics before theworldwide recession posit that the underground economy accounted for over 50 percent ofnonagricultural work in Latin America; the figure went as high as 80 percent in parts of Asia andAfrica (Chen 2001). A recent article in the Wall Street Journal discusses the challenges,parameters, and surprising benefits of this informal marketplace. The wages earned in mostunderground economy jobs, especially in peripheral nations, are a pittance-a few rupees for ahandmade bracelet at a market, or maybe 250 rupees ($5 U.S.) for a day's worth of fruit andvegetable sales (Barta 2009). But these tiny sums mark the difference between survival andextinction for the world's poor.1. Define &#34;underground economy&#34; in your own words. Include the benefits and harmit causes a nation.The underground economy has never been viewed very positively by global economists.After all, its members don't pay taxes, don't take out loans to grow their businesses, and rarelyearn enough to put money back into the economy in the form of consumer spending. Butaccording to the International Labor Organization (an agency of the United Nations), some 52million people worldwide will lose their jobs due to the ongoing worldwide recession. And whilethose in core nations know that high unemployment rates and limited government safety netscan be frightening, their situation is nothing compared to the loss of a job for those barely ekingout an existence. Once that job disappears, the chance of staying afloat is very slim.2. What are the risks of having a job in the underground economy?Within the context of this recession, some see the underground economy as a key playerin keeping people alive. Indeed, an economist at the World Bank credits jobs created by theinformal economy as a primary reason why peripheral nations are not in worse shape duringthis recession. Women in particular benefit from the informal sector. The majority ofeconomically active women in peripheral nations are engaged in the informal sector, which issomewhat buffered from the economic downturn. The flip side, of course, is that it is equallybuffered from the possibility of economic growth.3. Why is the underground economy sometimes a good thing? Within the context of this recession, some see the underground economy as a key playerin keeping people alive. Indeed, an economist at the World Bank credits jobs created by theinformal economy as a primary reason why peripheral nations are not in worse shape duringthis recession. Women in particular benefit from the informal sector. The majority ofeconomically active women in peripheral nations are engaged in the informal sector, which issomewhat buffered from the economic downturn. The flip side, of course, is that it is equallybuffered from the possibility of economic growth.3. Why is the underground economy sometimes a good thing?Even in the United States, the informal economy exists, although not on the same scaleas in peripheral and semiperipheral nations. It might include under-the-table nannies,gardeners, and house-cleaners, as well as unlicensed street vendors and taxi drivers. There arealso those who run informal businesses, like daycares or salons, from their houses. Analystsestimate that this type of labor may make up 10 percent of the overall U.S. economy, a numberthat will likely grow as companies reduce headcounts, leaving more workers to seek otheroptions. In the end, the article suggests that, whether selling medicinal wines in Thailand orwoven bracelets in India, the workers of the underground economy at least have what mostpeople want most of all: a chance to stay afloat (Barta 2009).4. Do you think the underground economy is playing a major role in the currentsituation in Lebanon? Explain your answer.

Accepted Answer

1) The underground economy implies financial marketings that are considered criminal, this is…