The underground economy exists for all of the following reasons EXCEPT the

Question

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The underground economy refers to economic activity that is not regulated by the government or reported to official authorities. One of the main reasons for the existence of the underground economy is to avoid taxes and government regulation. Another reason may be the production of illegal goods or services. However, there is no incentive for maintaining accurate records of economic transactions in the underground economy as it is illegal and unreported. Therefore, the correct answer is D, desire to maintain accurate records of economic transactions, as it contradicts the basic nature of the underground economy.

The Underground Economy Exists for All of the Following Reasons