English Lexicon

Underground Economy

/ˌʌndərˈɡraʊnd ɪˈkɒnəmi/
nounCEFR B2 (Upper)Top #1500 frequency
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Comprehensive Definitions & Senses

2 senses
As noun
  1. 1

    Economic activities that are not monitored or regulated by the government.

    "Many workers in the underground economy do not pay taxes on their earnings."
  2. 2

    A sector of the economy that includes informal or illegal transactions.

    "The underground economy can include everything from unreported income to illegal drug sales."

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Antonyms & Contrasting Words (1)

Linguistic Origin & Historical Etymology

The term 'underground economy' combines 'underground', which originates from Old English 'undergrunde', meaning 'beneath the ground', and 'economy', derived from the Greek 'oikonomia', meaning 'household management'. The phrase emerged in the late 20th century to describe economic activities that occur outside government regulation.

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