Greece - Home Of Funny Economic Numbers
This explains it. The article tells how the Greeks are having to count prostitution and smuggling estimates in their GDP. Why?
Under pressure from the European Union to cut its deficits, Greece is revising
its gross domestic product to include part of the booming black economy,
boosting its output by at least 10 percent in 2006,
Oh, those pesky EU types. In the land of rampant socialism, unemployment and economic disincentive, now they must falsify the numbers to keep the EU happy. You see, it has been established for years and years. When you increase taxes, production and revenue to the government tend to decrease. Why wouldn't it? Work more and keep less isn't my idea of fun.
Here's the tax rates. Notice that over 23,000 euros the tax is forty (40) percent. Couple that with sixteen (16) percent employee contribution to Socialist Security and it's no wonder they have to include illicits in the "official numbers" to keep the EU happy.
Just an observation.