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Rise in price of utilities
All aforesaid is correct and concerning the price for utilities. On
To existing estimations, almost half consumed in Lima water and an electricity
Disperses free of charge. Are possible, of course, and leaks of that and another, but big
Part of losses it is necessary to charge it, stealing water and
Electricity. The majority it do not pay for these services, and as a result for
Legislative the payment grows.
On the other hand, the basic part of legal sector is made by the enterprises,
Which are simply too great or too known to disappear in a shade.
Burdened with enormous governmental requirements, these enterprises
Demand in exchange more and more privileges. Their low efficiency and need in
Privileges there are consequences described above a vicious circle. It is possible
To observe even on an example of legal export firms which are assessed rather
Heavy taxes. Unprofitableness of their position can be corrected only in
Case if the government of Peru compensates in the form of grants or preferential
The credit that superfluous part of taxes which lay down on them because of massiveness
Shadow sector. (A situation that fact that still complicates these privileges
Break the international agreements under tariffs and the trade, forbidding
Subsidising of export and justifying reciprocal actions of the countries-importers in
To the form of antidumping laws or countervailing duties.) a net total
It is reduced to growth of taxes to not export branches of legal sector, which,
As a result, simply disappear.
Distortion continues to accrue. With growth of taxes an inefficiency of the tax
Systems it is bared. The tax to employment interferes with hiring of workers, the tax on
The added cost reduces investments into the enterprises of legal sector in
Whole etc., etc. By our calculations, if this vicious circle and other
Conditions remain invariable by 2000 shadow manufacture will reach
61,3 % of a total internal product.
Constraint of technical progress
For some reasons existence of shadow sector undermines technical progress.
The main reasons - the small sizes of the shadow enterprises, low level
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